Jordan Times
Thursday, December 6, 2007

PM underlines importance of MCC assistance

AMMAN (Petra) - Prime Minister Nader Dahabi on Wednesday said the government was committed to present its proposal to the Millennium Challenge Cooperation (MCC) to receive future assistance.

Dahabi made the remarks during a meeting with an MCC delegation currently in the Kingdom to analyse factors hampering economic development and discuss means of future cooperation.

The delegates will examine cooperation prospects and explore ways to develop citizens’ living conditions during their visit, especially after Jordan met 11 out of 17 indicators that qualify it for MCC assistance for 2008.

Before a country can become eligible to receive assistance, MCC looks at its performance on independent and transparent policy indicators. The corporation’s assistance is based on the principle that aid is most effective when it reinforces good governance, economic freedom and investments in people.

During the meeting, the premier underlined the importance of MCC financial assistance in support of the Kingdom’s economic development process, voicing hope that Jordan will be eligible to receive assistance next year.

Last year, under an agreement signed with the MCC, Jordan received $25 million in assistance, of which $16.5 million was used for the municipalities’ development programme. The remaining $8.5 million was earmarked to institutionalise the duties of the Jordan Customs Department.

To build improved future cooperation, Dahabi pointed out that the government has established an MCC unit at the Prime Ministry and formed steering and technical committees.

The steering committee, chaired by the prime minister, determines which projects have top priority to be presented to the MCC, while the technical committee determines the economic sectors that can benefit from the corporation’s assistance, Dahabi told the delegates.

To open the door to future MCC assistance, the government has focused on implementing certain reforms, including lowering the cost of starting a business in the country, streamlining procedures required for conducting trade and maintaining prudent fiscal management.

The MCC is an independent US government corporation that provides US assistance to countries that demonstrate commitment to political, social and economic reform.

The corporation works with some of the poorest countries in the world and its mission is to reduce global poverty through the promotion of sustainable economic growth.


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