Ghana Receives Largest Grant from U.S. in Recognition of Good Governance
By CCD Staff, 8/4/06

On August 1, Ghana received a $547 million anti-poverty grant from the Millennium Challenge Corporation (MCC), the largest grant awarded by the agency to date.

“This agreement is a testament to Ghana's strong commitment to good governance and building the necessary institutional framework for aid to be used effectively,” said Ambassador John Danilovich, MCC chief executive officer. “President Kufuor's leadership was instrumental in producing a program that will help the poor in Ghana build a better life for themselves and their children.”

Even though Ghana has a strong record of democracy and has encouraged the development of the private sector, poverty continues to plague the country. The five-year grant targets regions with high levels of poverty and will fund farming projects, transportation, and rural development.

Ghanaian President John A. Kufuor said he hopes other countries will follow Ghana’s example of good governance practices, which enabled Ghana to qualify for the grant.

The MCC has awarded more than $2.1 billion since 2004 to four African nations – Madagascar, Cape Verde, Benin and Ghana – and five other nations – Honduras, Nicaragua, Georgia, Vanuatu, and Armenia. The agency is currently in negotiations with other eligible countries.