2025-19507Notice

MCC Tweaks Country Aid Scorecards: Who Gets Billions in 2026?

Published Date: 10/9/2025

Notice

Summary

The Millennium Challenge Corporation (MCC) is updating how it picks countries for aid in fiscal year 2026. They’ll use clear, fair scorecards based on income levels to decide who gets help, whether it’s their first time or a follow-up. This means countries can expect a transparent process starting soon, with funding decisions that could impact development projects worldwide.

Analyzed Economic Effects

7 provisions identified: 3 benefits, 3 costs, 1 mixed.

Scorecard Passing Rules and Hard Hurdles

A country generally must pass at least 11 of 22 scorecard indicators to be considered, must pass the Personal Freedom indicator (minimum score 25 out of 60), and must pass either the Control of Corruption indicator or the Government Accountability indicator (Government Accountability pass is a minimum score of 17 out of 40). Failing either of the two "hard hurdle" requirements (Personal Freedom or the Control of Corruption/Accountability hurdle) means the country does not pass the scorecard overall.

Statutorily-Prohibited Countries Listed

The report lists countries that are statutorily prohibited from receiving MCC assistance for FY2026, including (for example) Burkina Faso, Burma, Eritrea, Ghana, Guinea, Haiti, Iran, Mali, Nicaragua, Niger, North Korea, South Sudan, Sri Lanka, Sudan, Syria, Venezuela, and Zimbabwe. These countries are identified as statutorily-prohibited for evaluation purposes.

Three Income Groups Define Comparisons

For FY2026, MCC will group candidate countries into three income categories for scorecard comparisons: GNI per capita of $2,155 or less; GNI per capita between $2,156 and $4,495; and GNI per capita between $4,496 and $7,855. Countries are compared against peers in the same income group when measuring policy performance.

Specific Indicator Threshold: Inflation Limit

On the Encouraging Economic Freedom category, the Inflation indicator requires a country's most recent average annual consumer price change to be 15 percent or less to 'pass' that indicator. MCC uses this numeric threshold when evaluating that specific indicator as part of the 22-indicator scorecard.

Threshold Program Option for Near-Eligible Countries

MCC will evaluate countries for the threshold program when they show significant commitment to meeting eligibility criteria but fail to meet them; the Board will consider whether a country appears on a trajectory to become viable for compact eligibility in the short or medium term. Threshold programs are intended to help such countries make reforms toward compact eligibility.

Rules for Subsequent and Concurrent Compacts

MCC may consider countries for a subsequent compact only after a country completes its compact or is within 18 months of its compact end date; selection is not automatic and requires (among other things) successful prior compact performance and improved policy performance. Concurrent compacts are allowed only if one or both compacts focus on regional economic integration, increased regional trade, or cross-border collaboration and the Board finds 'considerable and demonstrable progress' implementing the existing compact.

U.S. Business Opportunity Considered in Selection

When selecting countries for compacts, the Board will consider market fundamentals, trade dynamics, critical supply chains, and opportunities to facilitate U.S. business investments and private-sector-led growth. The Board explicitly weighs opportunities to advance U.S. business interests as part of assessing the investment opportunity.

Your PRIA Score

Score Hidden

Personalized for You

How does this regulation affect your finances?

Sign up for a PRIA Policy Scan to see your personalized alignment score for this federal register document and every other regulation we track. We analyze your financial profile against policy provisions to show you exactly what matters to your wallet.

Free to start

Key Dates

Published Date
10/9/2025

Department and Agencies

Department
Independent Agency
Agency
Millennium Challenge Corporation
Source: View HTML

Related Federal Register Documents

Previous / Next Documents

Back to Federal Register

Take It Personal

Get Your Personalized Policy View

Start a Free Government Policy Watch to see how policy affects your household, then upgrade to PRIA Full Coverage for year-round monitoring.

Already have an account? Sign in