Malawi gets Xmas gift from US, qualifies for new MCC compact

Malawi has been approved to seek another development compact by Millennium Challenge Corporation (MCC), a United States  of America (USA) government agency after it  successfully completed the first compact of  $350 million (K259 billion) energy project which closed on September 21 this year.

MCC announcement which has been treated as an early Christmas gift to Malawi, was learnt through a Twitter  feed on Wednesday evening.

“MCC is excited to announce that at yesterday’s board directors meeting the board selected Malawi as eligible for compact programme,”reads the tweet.

Minister of Finance, Economic Planning and Development, Goodlal Gondwe, said the President Peter Mutharika led administration has learnt the news of the new compact with “delight”, saying the  country scored 65 percent on tackling corruption to the scorecard  in the first compact

Gondwe said it is  the good score in the first compact which has given a leeway  to  Malawi to get a new development compact.

“We are extremely excited with this,” said Gondwe.

He said the government this time around will seek another aspect on infrastructure.

“Maybe transportation, but we will see,” said Gondwe.

United States Embassy public affairs officer Douglas Johnston said the decision by MCC board of directors chaired by US Secretary of State  looked  at other factors before selecting beneficiary countries.

He said  MCC has a higher bar for second compact eligibility, including successful implementation of the first compact; improved scorecard policy performance; and a commitment to pursue sectoral reform.

Malawi improved scores in investing in people and ruling justly.

MCC compacts are basically grants designed to be invested in sectors that can facilitate economic development and poverty eradication in beficiary countries , usually  poor economies such as Malawi.

The challenge now is for Malawi government to identify compact sectors that will improve the well being of Malawians and by and large the economy.

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Kaguta
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Kaguta

Minister Gondwe, you say may be the second compact will be on infrastructure like transport? As much as we need good roads, don’t lose sight of the fact that we are far from sorting out our electricity problems. If I were you, I would stick to electricity

LIPHAVA NAMANDWA NGOLONGOLIWA
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LIPHAVA NAMANDWA NGOLONGOLIWA

Congrats Govt. Ine nde ndimakaikatu. Ukhuluku unakuchulukirani a DPP. At least Chilima will have a good head starrt when he becomes President next May.

Kamikaze
Guest
Kamikaze

Shame on you haters if it was the opposite you could have been saying too much corruptin and signs of ecanomical mismanagement but now you have still something to write though this is good news for our Mother Malawi. Chitani manyazi plz.

Obadia Mwitere10
Guest
Obadia Mwitere10

Adadi / ababa mukuyesetsa kuyendetsa dzikoli. Tiziyamika pena mukamachita bwino. Ife sitili ngati anyapapi ena opepera ngati chitsiru chakumwa madzi ometera ndevu. 😄😄😄
More love adadi😍

Kanyimbi
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Kanyimbi

Lets take irrigation as our next goal.

Mlomwe Original
Guest
Mlomwe Original

Mwana wa MLOMWE PETER ntchito akuigwira man.

Obadia Mwitere
Guest
Obadia Mwitere

Adadi / ababa mukuyesetsa kuyendetsa dzikoli. Tiziyamika pena mukamachita bwino. Ife sitili ngati anyapapi ena opepera ngati chitsiru chakumwa madzi ometera ndevu. 😄😄😄
More love adadi😍

Truth Pains
Guest

This is not about DPP transforming this country but our pure poverty . American government has decided to rescue us from our man made misery created by our leaders who lack vision for this country.
As such there is nothing to celebrate for,
Had it been Malawi was one of well to do country then it was not going to qualify for this compact but bcoz our leaders don’t have leadership skills that’s why America is coming in .

M'Malawi Weniweni
Guest
M'Malawi Weniweni

I get surprised when people talk that our leaders don’t have visions. Then what are those party manifestos about. They are detailed visions!

Mphwache
Guest
Mphwache

I think transport infrastructure would be an ideal Compact beneficiary, but more reforms are needed in the sector, considering it is the bedrock of Corruption in the way contracts are issued out (especially on roads). Some benchmarks need to be established, and enforced on the quality of the works and provision of budgeted maintenance. Its no use to build roads if there is no adequate budget for their maintenance. The EU two decades asked Malawi to institute a mechanism for User Charges for roads, which would be implemented by Roads Authority, under the Road Maintenance Initiative. However, government has used… Read more »

Wiseman
Guest
Wiseman

THI is good news, congratulations

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