Title 22, Foreign Relations and IntercourseRelease 119-110

§7706 Eligible Countries

Title 22 › CHAPTER 84 — MILLENNIUM CHALLENGE › § 7706

Last updated Sep 22, 2026|Official source

Summary

The Board must decide whether a candidate country is eligible. It must use clear, measurable signs of the country’s commitment and, when useful, look at the role of women and girls. If a country is being considered for a new compact after a previous one, the Board must see significant improvement on the same kinds of measures that mattered for the earlier compact. A country is judged on three main areas: fair and democratic governance (including human and civil rights and space for civil society, property rights, openness, and fighting corruption); economic freedom (rules that boost trade, private business, markets, and worker rights like forming unions); and investments in people, especially women and children (like basic education, public health to lower child deaths, and sustainable use of natural resources and biodiversity). When the Board names eligible countries for a year, it then picks which ones the United States will try to make compacts with. The Board gives priority to need and likely impact by looking at how well a country meets the criteria, the chance to reduce poverty and grow the economy, and available funds. For seven years starting April 23, 2018, the Corporation must give the Board information (including classified material if needed) about how a country treats civil society, covering laws on forming and operating groups, legal status and discrimination, free speech and assembly, and internet rules. The criteria published for a fiscal year stay the same for that year, and the Board, through the CEO, can review and change them in later years as allowed.

Full Legal Text

Title 22, §7706

Foreign Relations and Intercourse, Source: USLM XML via OLRC

(a)Determination by the Board
The Board shall determine whether a candidate country is an eligible country for purposes of this section. Such determination shall be based, to the maximum extent possible, upon objective and quantifiable indicators of a country’s demonstrated commitment to the criteria in subsection (b), and shall, where appropriate, take into account and assess the role of women and girls. A determination whether a country is eligible for a subsequent, non-concurrent Millennium Challenge Compact shall also be based, to the extent practicable, on significantly improved performance across the criteria in subsection (b) that, at a minimum, are relevant to the preceding Compact, compared to the country’s performance with respect to such criteria when selected for such preceding Compact.
(b)Criteria
A candidate country should be considered to be an eligible country for purposes of this section if the Board determines that the country has demonstrated a commitment to—
(1)just and democratic governance, including a demonstrated commitment to—
(A)promote political pluralism, equality, and the rule of law;
(B)respect human and civil rights, including the rights of people with disabilities;
(C)protect private property rights;
(D)encourage transparency and accountability of government;
(E)combat corruption; and
(F)the quality of the civil society enabling environment;
(2)economic freedom, including a demonstrated commitment to economic policies that—
(A)encourage citizens and firms to participate in global trade and international capital markets;
(B)promote private sector growth;
(C)strengthen market forces in the economy; and
(D)respect worker rights, including the right to form labor unions; and
(3)investments in the people of such country, particularly women and children, including programs that—
(A)promote broad-based primary education;
(B)strengthen and build capacity to provide quality public health and reduce child mortality; and
(C)promote the protection of biodiversity and the transparent and sustainable management and use of natural resources.
(c)Selection by the Board
(1)In general
At the time the Board determines eligible countries under this section for a fiscal year, the Board shall select those eligible countries with respect to which the United States will initially seek to enter into a Millennium Challenge Compact pursuant to section 7708 of this title.
(2)Factors
In selecting eligible countries under paragraph (1), the Board shall prioritize need and impact by considering the following factors:
(A)The extent to which the country clearly meets or exceeds the eligibility criteria.
(B)The opportunity to reduce poverty and generate economic growth in the country.
(C)The availability of amounts to carry out this chapter.
(d)Reporting on treatment of civil society
For the 7-year period beginning on April 23, 2018, before the Board selects an eligible country for a Compact under subsection (c), the Corporation shall provide information to the Board regarding the country’s treatment of civil society, including classified information, as appropriate. The information shall include an assessment and analysis of factors including—
(1)any relevant laws governing the formation or establishment of a civil society organization, particularly laws intended to curb the activities of foreign civil society organizations;
(2)any relevant laws governing the operations of a civil society organization, particularly those laws seeking to define or otherwise regulate the actions of foreign civil society organizations;
(3)laws relating to the legal status of civil society organizations, including laws which effectively discriminate against foreign civil society organizations as compared to similarly situated domestic organizations;
(4)laws regulating the freedom of expression and peaceful assembly; and
(5)laws regulating the usage of the Internet, particularly by foreign civil society organizations.
(e)Establishment of criteria and methodology
The criteria and methodology submitted by the Board to Congress and published in the Federal Register under section 7707(b)(2) of this title with respect to a fiscal year shall remain fixed for purposes of eligibility determinations for such year.
(f)Annual modification of criteria and methodology
As appropriate, the Board, acting through the Chief Executive Officer, shall review the eligibility criteria and methodology and modify such criteria and methodology in subsequent years consistent with section 7707(b) of this title.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

This chapter, referred to in subsec. (c)(2)(C), was in the original “this title”, meaning title VI of Pub. L. 108–199, div. D, Jan. 23, 2004, 118 Stat. 211, which is classified generally to this chapter. For complete classification of this title to the Code, see

Short Title

note set out under section 7701 of this title and Tables.

Amendments

2024—Subsec. (c)(2). Pub. L. 118–159 substituted “prioritize need and impact by considering” for “consider” in introductory provisions. 2018—Subsec. (a). Pub. L. 115–167, § 203(1), inserted at end “A determination whether a country is eligible for a subsequent, non-concurrent Millennium Challenge Compact shall also be based, to the extent practicable, on significantly improved performance across the criteria in subsection (b) that, at a minimum, are relevant to the preceding Compact, compared to the country’s performance with respect to such criteria when selected for such preceding Compact.” Subsec. (b)(1)(F). Pub. L. 115–167, § 203(2), added subpar. (F). Subsecs. (d) to (f). Pub. L. 115–167, § 203(3), (4), added subsec. (d) and redesignated former subsecs. (d) and (e) as (e) and (f), respectively. 2007—Subsec. (b)(2)(B). Pub. L. 110–161, § 699I(a)(1), struck out “and the sustainable management of natural resources” after “growth”. Subsec. (b)(3)(C). Pub. L. 110–161, § 699I(a)(2), added subpar. (C).

Reference

Citations & Metadata

Citation

22 U.S.C. § 7706

Title 22, Foreign Relations and Intercourse

Last Updated

Sep 22, 2026

Release point: 119-110