Fact Sheet

MCC and Africa: 

A Growing Partnership for Success

Making the Promise of Poverty Reduction a Reality 

The United States, through the Millennium Challenge Corporation 

(MCC), is devoting unprecedented resources to help partner countries in 

Africa positively transform the lives of the poor and catalyze long-lasting 

economic progress. The continent of Africa is the largest recipient of 

MCC’s development assistance, both in the number of agreements and in 

the amount of assistance provided. 

Of MCC’s 19 grants, also known as Millennium Challenge Compacts, 12 

are with African countries, totaling about $5 billion. These partnerships 

span the continent and include Benin, Burkina Faso, Cape Verde, Ghana, 

Lesotho, Madagascar, Mali, Morocco, Mozambique, Namibia, Senegal and 

Tanzania. 

Additionally, MCC’s smaller-scale grants through the Threshold Program 

are designed to assist countries that are on the “threshold” of compact eligibility. These programs provide specialized assistance to countries where 

policy improvements are needed. Of the 21 Threshold Programs, 9 are 

with African countries totaling approximately $150 million focused largely 

on fighting corruption and improving governance.

The implementation of multi-year Compacts and Threshold Programs by 

MCC partner countries is producing positive results and improving the 

lives of beneficiaries. Through the innovation of the MCC model, we are 

making the promise of poverty reduction through economic growth a reality in Africa.

April 16, 2010 | www.mcc.gov

Fast Facts on MCC’s 

involvement with Africa

• Approximately half of the 

countries MCC is working with 

are in Africa.

• Of the 21 Compacts signed 

to date with MCC, 13 have 

been African countries: Benin, 

Burkina Faso, Cape Verde, 

Ghana, Lesotho, Madagascar, 

Mali, Mozambique, Morocco 

Namibia, Senegal and 

Tanzania. These total over $5 

billion or nearly 3/4 of the total value of all MCC Compacts 

signed to date.

• Of the 21 Threshold programs, 

9 are with African countries: 

Burkina Faso, Kenya, Malawi, 

Saõ Tomé and Principe, 

Rwanda, Tanzania, Niger, 

Uganda, and Zambia. Liberia 

is currently Threshold eligible.
MCC and Africa: A Growing Partnership for Success , April 16, 2010 2

MCC’s work is creating hope and opportunity for millions of people around the globe, particularly in Africa. MCC 

programs are concrete examples of constructive U.S. engagement in developing countries where economic progress and policy improvements are most urgent. 

Summaries of MCC African Compacts

Benin

The $307 million Benin compact removes key constraints to economic growth and supports improvements 

in physical and institutional infrastructures in four critical sectors vital to increasing investment and 

private sector activity in Benin. The program includes four projects: Access to Land, Access to Financial Services, 

Access to Justice, and Access to Markets.

Burkina Faso

The five-year, $480.94 million compact Burkina Faso is increasing investment in land and rural productivity through improved land tenure security and land management, increase the volume and value of agricultural production through investments in water management and irrigation, technical assistance to farmers 

and rural credit, increase opportunities for farmers to sell agricultural goods and livestock by rehabilitating rural 

and primary roads and, as an extension of Burkina Faso’s successful MCC threshold program, fund the construction of three classrooms each at 132 “girl-friendly” schools for grades 4 through 6.

Cape Verde

The $110 million grant with Cape Verde supports the country’s overall national development goal of 

transforming its economy from aid-dependency to sustainable, private-sector led growth. MCC funds 

are improving the country’s investment climate and reforming the financial sector; improving infrastructure, and 

increasing agricultural productivity and incomes of the rural population. 

Ghana

The $547 million agreement with Ghana will reduce poverty through private sector-led agribusiness 

development leading to increased incomes for farmers. Specifically, MCC’s investments are designed to 

increase the production and productivity of high-value cash and food staple crops in some of Ghana’s poorest 

regions and to enhance the competitiveness of Ghana’s agricultural products in regional and international markets. 
MCC and Africa: A Growing Partnership for Success , April 16, 2010 3

Lesotho

The five-year MCC compact with Lesotho is expected to have an economy-wide impact affecting the entire 

population of Lesotho. The $363 million program seeks to increase water supplies for industrial and domestic use, alleviate the devastating affects of poor maternal health, HIV/AIDS, tuberculosis and other diseases by 

substantially strengthening the country’s health care infrastructure and human resources for health capacity, and 

remove barriers to foreign and local private sector investment.

Madagascar

In Madagascar, the $110 million MCC program was designed to raise incomes by helping the rural population transition from subsistence agriculture to a market economy. The program included three projects to 

help rural Malagasy secure formal property rights to land, access credit and protect savings, and receive training 

in agricultural production, management and marketing techniques. As of August 31, 2009, MCC terminated its 

Compact with Madagascar due to the military coup. MCC is working with MCA Madagascar to ensure an orderly 

windup of the program.

Mali

Mali’s $461 million MCC grant addresses Mali’s constraints to growth and capitalizes on two of the country’s major assets, the Bamako-Sénou Airport, a gateway for regional and international trade, and the Niger 

River Delta, for irrigated agriculture. The program will increase agricultural productivity and expand Mali’s access 

to markets and trade. MCC assistance will also increase farmers’ incomes, enhance agricultural supply chains, 

reduce transport costs and create a platform for industrial production.

Morocco

The five-year $697.5 million Millennium Challenge grant with Morocco seeks to increase productivity and 

improve employment in high potential sectors including investments in fruit tree productivity, small-scale 

fisheries, and artisan crafts. The program will also assist small business creation and growth through investments 

in financial services and support. 

Mozambique

The five-year Compact with Mozambique seeks to enhance the productive capacity of the population in 

selected districts, increase household income and employment, and reduce chronic malnutrition. The 

$507 million program will improve water systems, sanitation, access to markets, land tenure services, and agriculture in the targeted districts.
MCC and Africa: A Growing Partnership for Success , April 16, 2010 4

Namibia

The five-year, $304.5 million compact with Namibia will improve the quality of education and training for 

underserved populations, and capitalize on Namibia’s comparative advantages (e.g., large areas of semiarid communal land suitable for livestock, and diverse wildlife and unique landscapes ideal for ecotourism) to 

increase the incomes of poor Namibians in the northern areas of the country.

Senegal

Senegal’s $540 million MCC Compact is reducing poverty through economic growth by investing in 

road rehabilitation in the northern and southern regions of Senegal. Improving these roads is vital to 

supporting the agricultural sector—by creating reliable, cost-effective, and time-saving means to transport locallyproduced agricultural products to domestic and international markets year-round. The compact is also investing 

in a strategic irrigation and water resources management project to maximize the potential of irrigated land by 

increasing crop yields. 

Tanzania 

The five-year $698 million agreement with Tanzania will reduce poverty and stimulate economic growth 

by increasing household incomes through targeted investments in transportation, energy, and water. The 

program will help Tanzanians address the inadequate transportation network by improving roads that will increase 

commerce and help connect communities with markets, schools, and health clinics. Additionally, the program will 

improve the reliability and quality of electric power and extend electricity service to communities not currently 

served—a vital commodity for rural villages and businesses to thrive. Finally the water project will increase the 

availability and reliability of potable water for domestic and commercial use which will increase the health and 

productivity of Tanzanians by reducing the incidence of water-related disease, particularly among children. 

Summaries of MCC Threshold Programs in Africa

Burkina Faso

Burkina Faso’s $12.9 million Threshold Program is increasing the number of girls who are completing 

primary education. Specifically, the program includes: the construction of “girl-friendly” schools, teacher 

training, take-home dry rations to girls who maintain a 90% school attendance rate, and literacy training center 

for mothers. 
MCC and Africa: A Growing Partnership for Success , April 16, 2010 5

Kenya

Kenya’s $12.7 million Threshold Program will reduce opportunities for corruption in public governance. 

Specifically, the Threshold Program will target corruption in public procurement, the delivery of health 

care, and the monitoring and evaluation of reforms.

Malawi

Malawi is implementing fifteen specific programs under its $20.9 million Threshold Program to combat 

corruption, enhance oversight functions, and build enforcement and deterrence capacity. The programs 

will create more effective legislative and judicial branches of government, provide support for anti-corruption 

agencies, strengthen independent media coverage, and expand the work of civil society organizations.

Niger

The three-year, $23 million Niger Threshold program focused on reducing public corruption within the 

health and education sectors, streamlining the process of starting a business, reducing the time and costs 

associated with land ownership transfer, land valuation, building permitting and notarization and bolstering girls’ 

education by building “girl-friendly” schools. On December 9, 2009 MCC’s Board of Directors voted to suspend 

MCC’s $23 million Threshold Program with Niger. The Board reviewed the recent actions by the Government of 

Niger, which constitute a significant policy reversal from the time the country was selected for an MCC grant.

Rwanda

The two-year, $24.7 million program with Rwanda will strengthen civic participation and promote 

civil liberties and rights by providing training, technical support and grants to local and national civil 

society organizations, offering training on election monitoring and voter education and supporting independent 

community radio stations to enhance citizen engagement. The program will also reinforce Rwanda’s efforts to 

support judicial capacity building, legislative reforms and improve overall public administration. Finally, the 

program will provide training and technical assistance to journalists as well as the Rwandan National Police in an 

effort to increase transparency.

Saõ Tomé and Principe

The $8.66 million Saõ Tomé and Principe Threshold Program seeks to increase revenue as a result of improved tax administration and enforcement. The program will also modernize Saõ Tomé and Principe’s 

Customs Service to increase efficiency and reduce the time and cost of starting a business. 
MCC and Africa: A Growing Partnership for Success , April 16, 2010 6

Tanzania

The $11.1 million Tanzania Threshold Program is focused on four specific anti-corruption initiatives including: building the nongovernmental sectors’ monitoring capacity; strengthening the rule of law for good 

governance; establishing a Financial Intelligence Unit; and curbing corruption in public procurement. 

Uganda

In Uganda, the $10.4 million Threshold Program will reduce corruption by improving public procurement 

and financial management practices, strengthening the role of civil society, and building capacity to facilitate more effective follow-up of reported malpractices. 

Zambia

Zambia’s $24.3 million Threshold Program focuses on reducing corruption and improving government 

effectiveness. The Program is funding three components aimed at increasing control of corruption within 

the public sector, improving public service delivery to the private sector and strengthening border management 

of trade.

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