Guiding Principles for Design and Implementation of the MCA

Publication Date: May 2002

Publisher: Center for Global Development; Center for Global Development

Author(s): Nancy Birdsall; Sarah Lucas; Sonal Shah; Nancy Birdsall; Sarah Lucas; Sonal Shah

Research Area: International relations

Type:

Abstract:

This paper defines seven principles to guide the design and implementation of the Millennium Challenge Account" (MCA), a new compact for development announced by President Bush in March. It assumes that MCA resources will be targeted to low-income countries that have limited, if any, access to private capital markets for sovereign debt, and for whom borrowing from the World Bank and other multilaterals is limited; and that the MCA will be an additional program to those already financed and administered by the U.S. government, which have related but not identical objectives, and affect a set of countries that is not necessarily the same.