The Millennium Challenge Corporation (MCC) will soon select eligible countries for FY2013 compact and threshold funding. This marks the MCC’s 10th time using its indicators-based selection system, which requires countries to pass two hard hurdles—the control of corruption indicator and either the political rights or civil liberties indicator—to be eligible for compact assistance. This report focuses on countries’ performance on these hard hurdles as a good initial prediction of which countries the MCC might select as eligible for the next round of MCC compacts or threshold agreements.
- Of the 56 low income countries, 28 pass the control of corruption hard hurdle and 30 pass the democratic rights hard hurdle. Only 20 countries pass both hard hurdle tests.
- Of the 33 lower middle income countries, 16 pass the control of corruption hard hurdle and 28 pass the democratic rights hard hurdle. Fifteen countries pass both hard hurdles.
- Scorecard income group transitions prove especially problematic for some countries this year.
- Six of 25 compact countries fail the FY2013 control of corruption hard hurdle.
- No compact or current threshold country fails the democratic rights hard hurdle, showing the MCC’s adherence to a previous de facto focus on democratic rights before the official designation of a democratic rights hard hurdle in the FY2012 selection process.
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