Millennium Challenge Corporation
June 21, 2012
MCC’s Contribution to Aid for Trade
Trade is one of the most significant drivers of economic growth. MCC considers $3.2 billion of its assistance to partner countries—35 percent—as “aid for trade.”
“Aid for trade” strives to help developing countries improve their capacity to trade by removing internal barriers to trade; building institutional capacity in areas such as customs and national standards; developing business skills; and building the transportation, energy, and other infrastructure needed to enable trade and business expansion that can propel economic growth.
MCC strives to unlock new opportunities for growth that enhance U.S. competitiveness and create American jobs. Private sector firms in the United States are benefitting from pro-growth policy reforms and MCC-funded infrastructure projects that open commercial, trade and investment opportunities in MCC partner countries. U.S. exports to the developing world are growing three times faster than exports to other economies, and MCC assistance is helping build this next generation of trade partners.
MCC’s primary contribution to “aid for trade” is through transportation infrastructure financing.
Aid for Trade: An MCC Priority
MCC works in partnership with eligible countries that establish their own priorities in order to generate sustainable economic growth that delivers tangible results for the poor. While each country’s grant program is different, many MCC partner countries place a high priority on increasing competiveness and facilitating domestic commerce as well as regional and international trade.