Reducing Undisbursed Balances at the Millennium Challenge Corporation
Undisbursed balances at the Millennium Challenge Corporation (MCC) could be reduced. MCC provides aid to developing countries primarily through multiyear compact agreements aimed at reducing poverty and stimulating economic growth. MCC has received appropriations for fiscal years 2004 to 2008 totaling more than $7.5 billion and has set aside about $6.4 billion of this amount for compacts. The President has requested an additional $2.225 billion for MCC for 2009. GAO projects that MCC, at its current pace of compact development, will not obligate the balance of its current and requested appropriations until the end of 2010 and has cited several factors that could lengthen this projected time frame. In addition, as of December 2007, actual disbursements for MCC compacts were about 25 percent of planned disbursements. Unless disbursements increase significantly, MCC could have significant obligated but undisbursed balances when the compacts expire and may not be able to fully achieve its compact goals. GAO will continue to examine MCC's rate of obligations and disbursements to give Congress the analysis needed to identify cost savings in MCC's annual budget requests.
^ Back to topKey Reports
- Millennium Challenge Corporation: Summary Fact Sheets for 11 Compacts Entered into Force
- GAO-08-1145R, September 26, 2008
- Summary (HTML) Full Report (PDF, 55 pages) Accessible Text
- Millennium Challenge Corporation: Independent Reviews and Consistent Approaches Will Strengthen Projections of Program Impact
- GAO-08-730, June 17, 2008
- Summary (HTML) Highlights Page (PDF) Full Report (PDF, 46 pages) Accessible Text Recommendations (HTML)
- Millennium Challenge Corporation: Analysis of Compact Development and Future Obligations and Current Disbursements of Compact Assistance
- GAO-08-577R, April 11, 2008
- Summary (HTML) Full Report (PDF, 27 pages) Accessible Text
- Millennium Challenge Corporation: Vanuatu Compact Overstates Projected Program Impact
- GAO-07-909, July 11, 2007
- Summary (HTML) Highlights Page (PDF) Full Report (PDF, 69 pages) Accessible Text Recommendations (HTML)
- Millennium Challenge Corporation: Compact Implementation Structures Are Being Established; Framework for Measuring Results Needs Improvement
- GAO-06-805, July 28, 2006
- Summary (HTML) Highlights Page (PDF) Full Report (PDF, 101 pages) Accessible Text Recommendations (HTML)
