CDM Supports Millennium Challenge Corporation's Launch of Massive Anti-Poverty Program in Ghana
July 24, 2006
WASHINGTON, D.C.—CDM has been awarded the newest phase of a comprehensive economic development program in Ghana for the Millennium Challenge Corporation (MCC), the innovative U.S. government-based funding organization under the Millennium Challenge Account that aims to reduce poverty through economic growth.
The new assignment follows CDM's fast-track completion of a multi-part assessment program that evaluated the suitability of significant financial investments in water and sanitation, education, and rural electrification. Objectives were to evaluate whether the MCC's potential projects would provide significant social and economic value, and to provide input to MCC for further funding decisions.
In July, the MCC Board of Directors approved the $547 million in aid—the largest compact of the multi-billion-dollar MCC—to reduce poverty, strengthen the economy, and transform social infrastructure in Ghana. The compact targets some of the country's poorest rural districts, where poverty rates range from 40 to 90 percent, and will directly benefit 1 million people.
CDM is supporting a significant portion of the program—a 5-year, $75 million rural development component to expand access to community services and strengthen rural institutions by funding construction and rehabilitation of schools, water and sanitation facilities, electrification, and capacity building support to local government institutions. The compact also includes major funding for agriculture and transportation improvements.
Release Number: 438-06