WASHINGTON, D.C. (April 29, 2025) — The Modernizing Foreign Assistance Network (MFAN) strongly opposes the reported plans by the Department of Government Efficiency (DOGE) to close the Millennium Challenge Corporation (MCC), a small but impactful U.S. foreign assistance agency with a proven track record of effectiveness and results.
Since its creation by the Bush Administration in 2004, the MCC has partnered with dozens of countries to promote sustainable economic growth, reduce poverty, and strengthen democratic institutions—an approach that directly serves American interests by building allies for trade and security purposes and providing an alternative to China’s predatory lending practices. The MCC only works with countries who meet important metrics for good governance.
“Shutting down MCC and cancelling all of its treaties with country partners would be an enormous strategic mistake," said Tod Preston, Executive Director of MFAN. “It really would be shooting ourselves in the foot. This is an agency that advances key U.S. objectives by going toe to toe with China to counter their coercive and exploitative development tactics.”
The MCC uses a high standard when partnering with countries: prioritizing country ownership, which ensures sustainability; using data to drive decisions; and operating with an unprecedented level of accountability. MCC’s unique model—selecting countries based on rigorous policy criteria, designing programs collaboratively, and maintaining strict standards of results and accountability—has catalyzed key democratic and economic reforms in a number of countries.
MFAN urges Congress to oppose the elimination of the MCC in recognition of its proven role in advancing America’s leadership, values, and security.
About MFAN:
The Modernizing Foreign Assistance Network (MFAN) is a bipartisan coalition of international development practitioners, policy advocates, and experts committed to making U.S. foreign assistance more effective, accountable, and results-driven.
For media inquiries, please reach out to Tod Preston, MFAN Executive Director, at Tod.Preston@modernizeaid.net
