Millennium Challenge Corporation opens way for new development fund in Cape Verde

16 November 2009

Praia, Cape Verde, 16 Nov – The Millennium Challenge Corporation (MCC) gave a “positive grade” to Cape Verde’s execution of the first financial compact provided in 2008, opening the way to a second, the MCC representative for Cape Verde said Sunday in Praia.

The MCC has had a programme in Cape Verde since 2008, as part of the Millennium Challenge Account (MCA) worth US$110 million, due to end in 2010 and focused on development projects in the archipelago.

The resident MCC representative in Cape Verde, Stalis Solomon Pangides, said that the archipelago had received a positive and higher grade than other countries in its category in the international assessment process, which aims to text the eligibility of countries for MCC funds, taking into account indicators of governability, investment in the population and business climate.

“Cape Verde, in these indicators and in each category is in the ‘green zone’ above the average for countries in its medium income group,” said Panagides.

Cape Verde’s eligibility is the first condition that the archipelago had to meet to apply for the 2nd Compact of the MCC Fund.

The value of the fund for a potential compact would be stipulated by the US Congress, but, Cape Verde’s Foreign Minister, José Brito said that the government planned to request a higher amount than was granted for the 1st compact.
A preliminary decision about this process will be announced on 9 December, at the MCC Board Meeting in Washington DC. (macauhub)