Ideas to Action:

Independent research for global prosperity

Rethinking US Foreign Assistance Blog

The Rethinking US Foreign Assistance Blog complements CGD's Rethinking U.S. Foreign Assistance initiative. Both are for professionals interested in tracking US Foreign Assistance and its impact on developing countries.

X

Rethinking US Foreign Assistance Blog

Feed

 

U.S. Foreign Assistance and Corruption: It’s All Relative

This is a joint post with Sarah Jane Staats.

Corruption remains a major concern of foreign aid policymakers. The Millennium Challenge Corporation (MCC) was created, in part, to address this concern by working with well-governed, poor countries that must pass a control of corruption indicator. This also means the MCC is held to a higher standard and is often the first aid agency forced to respond to corruption concerns. Our message to the policymakers: keep in mind that corruption, especially in poor countries, is relative.

Reps. Nita Lowey (D-NY) and Ileana Ros-Lehtinen (R-FL) raised concerns about corruption with MCC CEO Daniel Yohannes in recent hearings before the House foreign aid appropriators and authorizers. Both Lowey and Ros-Lehtinen are right to focus on corruption and to have concerns especially in MCC countries. But it is important to unpack what corruption means in—and across—developing countries to calibrate responses to these concerns.

Which Countries Jump the FY10 Corruption Hurdle?

I’m excited to announce the start of the FY10 MCC country selection process and with it the MCA Monitor’s annual control of corruption indicator assessment.  The paper analyzes how countries fared on the control of corruption indicator, the one “hard hurdle” indicator for MCA funding eligibility.  It also touches upon what’s sure to be a provocative issue this round: compact-eligible countries that have graduated into the LMIC pool where funding is constrained.  Enjoy this initial insight into the upcoming selection proc