A delegation of the Millennium Challenge Corporation (MCC) is in the country to launch the beginning of the second compact development for Malawi and start the implementation process which would see Malawi benefiting in a sector of its choice.
The second compact comes after a successful implementation and completion of the first compact which focused on the energy sector.
This was revealed on Thursday when the MCC team had an audience with President Prof Arthur Peter Mutharika at the Kamuzu Palace in Lilongwe.
MCC Vice President, General Counsel and Corporate Secretary, Jeanne M Hauch said there is great commitment for Malawi to move forward in the compact hence the launch.
She observed that Malawi performed well in the first compact hence the need for the second compact so that the country progresses in its economic growth agenda saying there is great potential for Malawi’s economic growth.
“Not many countries receive the second compact. Malawi performed well in the first compact. As such we will continue assisting Malawi in order for it to achieve its potential in the development agenda,” she said.
President Mutharika was grateful for the second compact while at the same time describing the first compact as a success which has brought a bigger change as most people are able to do business even in the village due to access to electrical power.
He said in the second compact his government is considering best areas that would have a positive impact on Malawians.
“The first compact invested in a critical area that served a greater good,” he said.
Minister of Finance, Economic Planning and Development Goodall Gondwe said a panel of nine has been chosen to discuss and propose projects to be undertaken in the second compact.
He said this panel would discuss with the MCC technical team of the possible projects.
“We are confident that the panel will deliver and come up with very good projects for implementation,” said Gondwe.
MCC approved second Malawi compact in December 2018 after the successful completion of the $350.7 million energy compact.
The first compact for Malawi was designed to increase individual and business incomes and reduce poverty by improving the availability, reliability and quality of the power supply, expanding access to power, reducing the cost of doing business and revitalizing Malawi’s power sector.