|
This file is available on a Cryptome DVD offered by Cryptome. Donate $25 for a DVD of the Cryptome 10-year archives of 35,000 files from June 1996 to June 2006 (~3.5 GB). Click Paypal or mail check/MO made out to John Young, 251 West 89th Street, New York, NY 10024. Archives include all files of cryptome.org, cryptome2.org, jya.com, cartome.org, eyeball-series.org and iraq-kill-maim.org. Cryptome offers with the Cryptome DVD an INSCOM DVD of about 18,000 pages of counter-intelligence dossiers declassified by the US Army Information and Security Command, dating from 1945 to 1985. No additional contribution required -- $25 for both. The DVDs will be sent anywhere worldwide without extra cost. | |||
17 November 2006
[Federal Register: November 17, 2006 (Volume 71, Number 222)]
[Notices]
[Page 66983-66985]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr17no06-82]
=======================================================================
-----------------------------------------------------------------------
MILLENNIUM CHALLENGE CORPORATION
[MCC FR 06-19]
Report on the Selection of Eligible Countries for Fiscal Year
2007
AGENCY: Millennium Challenge Corporation.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: This report is provided in accordance with Section 608(d)(2)
of the Millennium Challenge Act of 2003, Pub. L. 108-199, Division D,
(the ``Act''), Report on the Selection of Eligible Countries for Fiscal
Year 2007.
Summary
This report is provided in accordance with Section 608(d)(2) of the
Millennium Challenge Act of 2003, Pub. L. 108-199, Division D, (the
``Act'').
The Act authorizes the provision of Millennium Challenge Account
(MCA) assistance under Section 605 of the Act to countries that enter
into Compacts with the United States to support
[[Page 66984]]
policies and programs that advance the progress of such countries in
achieving lasting economic growth and poverty reduction and are in
furtherance of the Act. The Act requires the Millennium Challenge
Corporation (MCC) to take a number of steps to determine the countries
that, based to the maximum extent possible upon objective and
quantifiable indicators of a country's demonstrated commitment to just
and democratic governance, economic freedom and investing in their
people, will be eligible to receive MCA assistance for a fiscal year.
These steps include the submission of reports to appropriate
Congressional committees and the publication of notices in the Federal
Register that identify, among other things:
1. The ``candidate countries'' for MCA assistance for a fiscal year
and all countries that would be candidate countries if they met the
requirement of Section 606(a)(1)(B) (Section 608(a) of the Act);
2. the eligibility criteria and methodology that the MCC Board of
Directors (the ``Board'') will use to select ``eligible countries''
from among the ``candidate countries'' (Section 608(b) of the Act); and
3. the countries determined by the Board to be ``eligible
countries'' for a fiscal year, the countries on the list of eligible
countries with which the Board will seek to enter into a Compact and a
justification for the decisions regarding eligibility and selection for
negotiation (Section 608(d)(1) of the Act).
This is the third of the above-described reports by MCC for fiscal
year 2007 (FY07). It identifies countries determined by the Board to be
eligible under Section 607 of the Act for FY07 and those that the Board
will seek to enter into Compacts under Section 609 of the Act, and the
justification for such decisions.
Eligible Countries
The Board met on November 8, 2006, to select countries that will be
eligible for MCA Compact assistance under Section 607 of the Act for
FY07. The Board determined the following countries eligible for such
assistance for FY07 and with which MCC may seek to enter into a
Compact: Armenia; Benin; Bolivia; Burkina Faso; Cape Verde; East Timor;
El Salvador; Georgia; Ghana; Honduras; Jordan; Lesotho; Madagascar;
Mali; Moldova; Mongolia; Mozambique; Namibia; Nicaragua; Senegal; Sri
Lanka; Tanzania; Ukraine; and Vanuatu.
In accordance with the Act and with the ``Report on the Criteria
and Methodology for Determining the Eligibility of Candidate Countries
for Millennium Challenge Account Assistance in Fiscal Year 2007''
submitted to the Congress on, September 8, 2006, selection was based
primarily on a country's overall performance in relation to three broad
policy categories: (1) ``Ruling Justly''; (2) ``Encouraging Economic
Freedom''; and (3) ``Investing in People.'' The Board relied upon 16
publicly available and independent indicators to assess policy
performance and demonstrated commitment in these three areas, to the
maximum extent possible, for determining which countries would be
eligible for MCA Compact assistance. In determining eligibility, the
Board considered if a country performed above the median in relation to
its peers on at least half of the indicators in each of the three
policy categories and above the median on ``Control of Corruption''
and, if the country performed substantially below the median on any
indictor, whether it is taking appropriate action to address the
shortcomings. Scorecards reflecting each country's performance on the
indicators are available on MCC's Web site at http://www.mcc.gov.
The Board also considered whether any adjustments should be made
for data gaps, lags, trends, or recent events since the indicators were
published and strengths or weaknesses in particular indicators. Where
appropriate, the Board took into account additional quantitative and
qualitative information such as evidence of a country's commitment to
fighting corruption and promoting democratic governance, its economic
policies to promote the sustainable management of natural resources,
human rights, and the rights of people with disabilities. In addition,
the Board considered the opportunity to reduce poverty, promote
economic growth and have a transformational impact in a country in
light of the overall context of the information available to it as well
as the availability of appropriated funds.
Eighteen of the countries selected eligible for MCA assistance for
FY07 were in the ``low income'' category and were previously selected
as eligible in at least one previous fiscal year--Armenia, Benin,
Bolivia, Burkina Faso, East Timor, Ghana, Georgia, Honduras, Lesotho,
Madagascar, Mali, Mongolia, Mozambique, Nicaragua, Senegal, Sri Lanka,
Tanzania, and Vanuatu. Three of the countries selected as eligible for
MCA assistance for FY07 were in the ``lower middle income'' category
and were previously selected as eligible in at least one previous
fiscal year--Cape Verde, El Salvador, and Namibia. On November 8, 2006,
the Board re-selected these countries based on their continued
performance since their prior selection. The Board also determined that
no material change has occurred in the performance of these countries
on the selection criteria since the FY06 selection that would justify
not including them in the FY07 eligible country list. Six of these
countries--Benin, Cape Verde, Ghana, Madagascar, Senegal, and Sri
Lanka--either did not perform above the median on Control of Corruption
or did not perform above the median in relation to their peers on at
least half of the indicators in each of the three policy categories.
However, at this time, MCC does not believe that a serious erosion of
policy performance has occurred in any of these countries. MCC will ask
each of these countries to commit to specific actions by their
respective governments to address indicator performance weaknesses and
to strive to maintain or improve upon their performance overall.
Three additional countries were selected for the first time in
FY07: (1) Two in the ``low income'' category under Section 606(a) of
the Act--Moldova and Ukraine; and (2) one in the ``lower middle
income'' category under Section 606(b) of the Act--Jordan. Each of
these countries: (1) Performed above the median in relation to their
peers on at least half of the indicators in each of the three policy
categories; (2) performed above the median on corruption; and (3) in
cases where they performed substantially below the median on an
indicator, there was either evidence that the data did not adequately
reflect their policy performance or that the government is taking
corrective action to address the problem.
All three of these countries are currently participating in the
Threshold Program. Each country now meets the MCA eligibility criteria
for Compact assistance but successful implementation of their
respective Threshold Program--and of the corresponding reform
commitments--remains critical. The governments will be required to
demonstrate successful implementation of the Threshold Program during
the Compact development process in order to reach a Compact and then to
continue to receive MCA funding under a Compact.
Moldova: Moldova presents an excellent opportunity for MCC
to use its Compact funding in a transformational way. Moldova is the
poorest country in Europe with half of its population living on less
than $2 per day. It now passes 15 of the 16 indicators, as well as both
of the two new Natural Resource Management indices. The Government of
Moldova has adopted a series of
[[Page 66985]]
significant policy and institutional reforms over the last several
years. After being selected as a Threshold Program Country in FY06, the
Government of Moldova proposed an ambitious anti-corruption Threshold
Program and improved its performance on the ``Control of Corruption''
indicator from the 46th percentile to the 55th percentile.
Ukraine: For the first time, Ukraine also passes the MCA
selection eligibility criteria and has made significant improvements on
all of the indictors in the ``Ruling Justly'' category. In addition,
Ukraine passes one of the new supplementary Natural Resources
Management indices. Ukraine was selected as a Threshold country in
FY06, and in June 2006, the Board approved its Threshold program which
is focused on accelerating anti-corruption efforts. MCC expects that
implementation of Ukraine's Threshold Program will begin soon and will
bolster the Government of Ukraine's reform efforts.
Jordan: Jordan passes the MCA selection eligibility
criteria, including ``Control of Corruption,'' and has demonstrated its
commitment to MCC principles through home-grown democratic reform
initiatives, which MCC is currently supporting through the
implementation of the Threshold Program agreement signed in October,
2006. Jordan has made significant reform commitments in its Threshold
Program and MCC will require successful implementation of the Threshold
Program as the Government of Jordan works to develop and implement a
Compact. A Compact in Jordan could have a transformation impact as
structural reforms over the last decade have liberalized the private
investment regime, opened the trade environment, and established modern
regulation and institutions for private sector development.
Finally, a number of countries that performed well on the
quantitative elements of the selection criteria (i.e., on the policy
indicators) were not chosen as eligible countries for FY07. As
discussed above, the Board considered a variety of factors in addition
to the country's performance on the policy indicators in determining
whether they were appropriate candidates for assistance (e.g., the
country's commitment to fighting corruption and promoting democratic
governance; the availability of appropriated funds; and in which
countries MCC would likely have the best opportunity to reduce poverty,
generate economic growth and have a transformational impact).
Selection for Compact Negotiation
The Board also authorized MCC to seek to negotiate a Compact, as
described in Section 609 of the Act, with each of the eligible
countries identified above that develops a proposal that justifies
beginning such negotiations. MCC will initiate the process by inviting
newly eligible countries to submit program proposals to MCC (previously
eligible countries will not be asked to submit another proposal for
FY07 assistance). MCC has posted guidance on the MCC Web site (http://www.mcc.gov
) regarding the development and submission of MCA program
proposals. Submission of a proposal is not a guarantee that MCC will
finalize a Compact with an eligible country. Any MCA assistance
provided under Section 605 of the Act will be contingent on the
successful negotiation of a mutually agreeable Compact between the
eligible country and MCC, approval of the Compact by the Board, and
availability of funds.
Dated: November 14, 2006.
William G. Anderson, Jr.,
Vice President and General Counsel (Acting), Millennium Challenge
Corporation.
[FR Doc. E6-19488 Filed 11-16-06; 8:45 am]
BILLING CODE 9210-01-P