Mongolia recently celebrated the successful completion of a $285 million Millennium Challenge compact with the United States. The Millennium Challenge Corporation, or MCC, is an independent U.S. government corporation that is helping lead the fight against global poverty.
MCC is coming up with more effective ways to deliver U.S. foreign assistance by focusing on good policies, country ownership, and results.
The Mongolia-MCC partnership has succeeded in putting its people on a path to economic growth. “Our investment has strengthened property rights, improved health, reduced air pollution, built a major north-south road, and trained the workforce of tomorrow. Each component plays a role in generating economic growth,” said MCC Senior Advisor Cassandra Butts in Mongolia. First among these was implementing the right policy reforms.
From reforms regarding vocational education to land to road maintenance, these policies support MCC’s growth-enhancing investments.
The right legal, policy and operational frameworks were put in place, including measures to sustain our investments. From reforms regarding vocational education to land to road maintenance, these policies support MCC’s growth-enhancing investments.
MCC invested $15 million to improve the efficiency, accuracy and accessibility of the land privatization and property registration process to make it easier, faster and more cost-effective for Mongolian citizens to register and transfer land.
The second key factor to the Compact's success has been a focus on building clear links to private sector priorities. Building the right infrastructure or ensuring the sound health and modern training of Mongolian workers are essential for attracting private sector investment, which is the ultimate engine of jobs and economic growth.
Finally, the focus has been on inclusive development that benefits both men and women, while minimizing environmental impacts. Women’s participation in the economy is a key contributor to a country’s growth and development. From securing property and land rights to treating cervical cancer to installing energy-efficient stoves in women-headed households, MCC work in Mongolia has been a model for gender equality, said Ms. Butts. Moreover, Mongolia identified and mitigated environmental risks, demonstrating national leadership in safely identifying, removing and disposing of hazardous materials like asbestos and lead during renovations.
MCC has been proud to partner with Mongolia on the success of the compact. It is now up to the government and program participants to sustain all the good this compact has achieved.