Notice2025-00899

Report on the Selection of Eligible Countries for Fiscal Year 2025 (Albania)

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
January 15, 2025

Issuing agencies

Millennium Challenge Corporation

Abstract

This report is provided in accordance with the Millennium Challenge Act of 2003, as amended. The report is set forth in full below.

Full Text

<html>
<head>
<title>Federal Register, Volume 90 Issue 9 (Wednesday, January 15, 2025)</title>
</head>
<body><pre>
[Federal Register Volume 90, Number 9 (Wednesday, January 15, 2025)]
[Notices]
[Pages 3966-3967]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-00899]



[[Page 3966]]

=======================================================================
-----------------------------------------------------------------------

MILLENNIUM CHALLENGE CORPORATION

[MCC FR 25-01]


Report on the Selection of Eligible Countries for Fiscal Year 
2025 (Albania)

AGENCY: Millennium Challenge Corporation.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: This report is provided in accordance with the Millennium 
Challenge Act of 2003, as amended. The report is set forth in full 
below.

SUPPLEMENTARY INFORMATION: Report on the Selection of Eligible 
Countries for Fiscal Year 2025 (Albania).

Summary

    This report is provided in accordance with section 608(d)(1) of the 
Millennium Challenge Act of 2003, as amended (the Act) (22 U.S.C. 
7707(d)(1)). This is the second such report for fiscal year (FY) 2025 
due to the enactment of the Millennium Challenge Corporation Candidate 
Country Reform Act on December 23, 2024.
    The Act authorizes the provision of assistance under section 605 of 
the Act (22 U.S.C. 7704) to countries that enter into compacts with the 
United States to support policies and programs that advance the 
progress of such countries in achieving lasting poverty reduction 
through economic growth and are in furtherance of the Act. The Act 
requires the Millennium Challenge Corporation (MCC) to determine the 
countries that will be eligible to receive assistance for the fiscal 
year, based on their demonstrated commitment to just and democratic 
governance, economic freedom, and investing in their people, as well as 
on the opportunity to reduce poverty through economic growth in the 
country. The Act also requires the submission of reports to appropriate 
congressional committees and the publication of notices in the Federal 
Register that identify, among other things:
    1. The countries that are ``candidate countries'' for assistance 
for FY 2025 based on their per-capita income levels and their 
eligibility to receive assistance under U.S. law, and countries that 
would be candidate countries, but for specified legal prohibitions on 
assistance (section 608(a) of the Act (22 U.S.C. 7707(a)));
    2. The criteria and methodology that the Board of Directors of MCC 
(the Board) used to measure and evaluate the policy performance of the 
``candidate countries'' consistent with the requirements of section 607 
of the Act in order to determine ``eligible countries'' from among the 
``candidate countries'' (section 608(b) of the Act (22 U.S.C. 
7707(b))); and
    3. The list of countries determined by the Board to be ``eligible 
countries'' for FY 2025, with justification for eligibility 
determination and selection for compact negotiation, including with 
which of the eligible countries the Board will seek to enter into 
compacts (section 608(d) of the Act (22 U.S.C. 7707(d))).
    This is an additional report that fulfills the requirements under 
the third of the above-described reports by MCC for FY 2025. A prior 
report was sent to Congress on December 19, 2024. Both the prior report 
and this report identify countries determined by the Board to be 
eligible under section 607 of the Act (22 U.S.C. 7706) for FY 2025 with 
which MCC seeks to enter into compacts under section 609 of the Act (22 
U.S.C. 7708), as well as the justification for such decisions. The 
prior report also identifies countries selected by the Board to receive 
assistance under MCC's threshold program pursuant to section 616 of the 
Act (22 U.S.C. 7715).

Eligible Countries

    The Board met on December 18, 2024, to select those eligible 
countries with which the United States, through MCC, will seek to enter 
into a Millennium Challenge Compact pursuant to section 607 of the Act 
(22 U.S.C. 7706). At the time, the Board selected Liberia as eligible 
to develop a compact, as noted in MCC's previous report.
    Following the passage of the MCC Candidate Country Reform Act, as 
part of the National Defense Authorization Act for Fiscal Year 2025, 
the Board considered additional eligible countries with which the 
United States, through MCC, will seek to enter into a Millennium 
Challenge Compact pursuant to section 607 of the Act (22 U.S.C. 7706). 
On January 7, 2025, the Board selected Albania for such assistance for 
FY 2025 via a written consent action in accordance with section 9 of 
MCC's bylaws. Albania is invited by MCC to develop a compact.

Criteria

    In accordance with the Act and with the ``Selection Criteria and 
Methodology Report for Fiscal Year 2025'' formally submitted to 
Congress on September 20, 2024, selection was based primarily on a 
country's overall performance in three broad policy categories: Ruling 
Justly, Encouraging Economic Freedom, and Investing in People. The 
Board relied, to the fullest extent possible, upon transparent and 
independent indicators to assess countries' policy performance and 
demonstrated commitment in these three broad policy areas. The Board 
compared countries' performance on the indicators relative to their 
income-level peers, evaluating them in comparison to either the group 
of countries with a GNI per capita equal to or less than $2,165, the 
group with a GNI per capita between $2,166 and $4,515, or the group 
with a GNI per capita between $4,516 and $7,895.
    The criteria and methodology used to assess countries, including 
the methodology for the annual scorecards, are outlined in the 
``Selection Criteria and Methodology Report for Fiscal Year 2025.'' \1\ 
Scorecards reflecting each country's performance on the indicators are 
available on MCC's website at <a href="https://www.mcc.gov/who-we-select/scorecards">https://www.mcc.gov/who-we-select/scorecards</a>.
---------------------------------------------------------------------------

    \1\ Available at <a href="https://www.mcc.gov/resources/doc/report-selection-criteria-methodology-fy25">https://www.mcc.gov/resources/doc/report-selection-criteria-methodology-fy25</a>.
---------------------------------------------------------------------------

    The Board also considered whether any adjustments should be made 
for data gaps, data lags, or recent events since the indicators were 
published, as well as strengths or weaknesses in particular indicators. 
Where appropriate, the Board considered additional quantitative and 
qualitative information, such as evidence of a country's commitment to 
fighting corruption, investments in human development outcomes, or 
poverty rates. MCC published a Guide to Supplemental Information \2\ to 
increase transparency about the type of supplemental information the 
Board uses to assess a country's policy performance. In keeping with 
statutory requirements, the Board also considered the opportunity to 
reduce poverty and promote economic growth in a country, in light of 
the overall information available, as well as the availability of 
appropriated funds.
---------------------------------------------------------------------------

    \2\ Available at <a href="https://www.mcc.gov/resources/doc/guide-to-supplemental-information">https://www.mcc.gov/resources/doc/guide-to-supplemental-information</a>.
---------------------------------------------------------------------------

    The Board sees the selection decision as an annual opportunity to 
determine where MCC funds can be most effectively used to support 
poverty reduction through economic growth in well-governed countries 
with demonstrated development need. The Board carefully considers the 
appropriate nature of each country partnership--on a case-by-case 
basis--based on factors related to poverty reduction through economic 
growth, the sustainability of MCC's investments, and the country's 
ability to attract and leverage public and private resources in support 
of development.
    This is the first fiscal year in which the Board used its new 
authority under

[[Page 3967]]

the MCC Candidate Country Reform Act to select from the additional 
group of countries newly included for consideration for MCC assistance. 
The new authority aligns the income threshold for a country to be an 
MCC candidate county with the World Bank threshold for initiating the 
International Bank for Reconstruction and Development graduation 
process ($7,895 gross national income per capita for fiscal year 2025). 
In considering any such new countries in MCC's candidate pool, the 
Board will continue to apply MCC's long-standing statutorily mandated 
eligibility criteria and selectivity model to all selections and will 
continue to prioritize the opportunity to reduce poverty through 
economic growth.

Country Newly Selected for Compact Assistance

    Using the criteria described above, Albania, a candidate country 
under section 606(a) of the Act (22 U.S.C. 7705(a)), was newly selected 
as eligible for assistance under section 607 of the Act (22 U.S.C. 
7706). Albania is invited by MCC to develop a compact.
    Albania: A prior MCC threshold program partner, Albania performs 
well on the scorecard, passing 15 of 20 indicators overall. A stable 
democracy with a record of competitive elections, Albania is expected 
to hold parliamentary elections on May 11, 2025. In recent years, 
Albania has adopted critical anti-corruption and rule of law reforms 
amid efforts to join the European Union, which are reflected in its 
performance on the scorecard. Despite sound economic governance, 
Albania continues to face headwinds in its development path given its 
vulnerabilities to geopolitical and natural disaster-related shocks, 
which have disproportionately affected the poor in recent years; 14 
percent of the population lives on less than $6.85 per day--the World 
Bank's poverty line for upper middle-income countries. MCC's Board 
selected Albania as eligible to develop a compact in recognition of 
Albania's democratic history, progress fighting corruption, and ongoing 
development needs.

(Authority: 22 U.S.C. 7707(d)(2))

    Dated: January 10, 2025.
Peter E. Jaffe,
Vice President, General Counsel, and Corporate Secretary.
[FR Doc. 2025-00899 Filed 1-13-25; 11:15 am]
BILLING CODE 9211-03-P


</pre></body>
</html>
Indexed from Federal Register on January 15, 2025.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.