The impending visit of a high-level delegation from the Millennium Challenge Corporation (MCC) to Liberia marks a pivotal moment in the country’s pursuit of a second compact agreement. This visit, scheduled for September 22, 2025, signifies the resumption of a process temporarily stalled by the U.S. political transition and subsequent policy adjustments under the new administration. Led by Ms. Carrie Monahan, Managing Director for Africa at MCC, the team comprises senior experts in finance, trade, and economic analysis, underscoring the depth and seriousness of the assessment. Their primary objective is to evaluate Liberia’s readiness for a second compact by scrutinizing its progress in areas crucial to MCC’s investment criteria, including good governance, economic freedom, and citizen-centric investments.
The delegation’s itinerary includes comprehensive engagements with a wide spectrum of Liberian stakeholders. Government ministries responsible for finance, foreign affairs, investment, and statistics will be key interlocutors. Interactions with the Central Bank of Liberia and institutions like the Liberia Institute of Statistics and Geo-Information Services (LISGIS) will provide insights into the country’s macroeconomic stability and data collection capabilities. The delegation will also engage with sector-specific entities, including the Ministry of Mines and Energy, and the Liberia Extractive Industries Transparency Initiative (LEITI), reflecting MCC’s interest in understanding the governance and transparency frameworks within key sectors of the Liberian economy. Furthermore, consultations with the Liberia Revenue Authority will shed light on the country’s fiscal management capacity, a critical factor for sustainable economic growth.
Beyond government institutions, the MCC team will also interact with representatives from the private sector and civil society. Meetings with the Liberia Chamber of Commerce, the Liberia Special Economic Zone Authority, and the Ministry of Commerce and Industry are designed to gauge the private sector’s dynamism and the government’s efforts to foster a conducive business environment. These engagements will provide a holistic view of Liberia’s economic landscape, enabling the MCC to assess the potential impact of a second compact on various sectors and stakeholders. The broader consultations with non-governmental organizations will ensure that the voices of diverse communities are considered in the evaluation process.
The core purpose of this mission is to conduct a Constraints Analysis, a rigorous diagnostic assessment that forms the cornerstone of MCC’s decision-making process. This analysis aims to pinpoint the most significant obstacles hindering Liberia’s inclusive and sustainable economic growth. By identifying these bottlenecks, the MCC can tailor its potential investments to address the root causes of poverty and promote broad-based economic development. The analysis will delve into various sectors, evaluating their potential for transformative change and alignment with MCC’s investment priorities. This process will not only inform the decision on a second compact but also provide valuable insights for Liberia’s own development planning.
The resumption of Liberia’s compact development process signals a renewed commitment from both the MCC and the Liberian government to collaborate on poverty reduction through sustainable economic growth. Finance Minister Augustine Kpehe Ngafuan’s statement highlights the evolving approach of the MCC under the current U.S. administration. He emphasizes the agency’s focus on a “win-win development model,” where investments not only stimulate Liberia’s economic progress but also create opportunities for U.S. businesses. This approach reflects a growing emphasis on mutually beneficial partnerships, seeking to align development assistance with broader U.S. economic interests.
The MCC’s rigorous selection process and focus on good governance underscore the importance of Liberia’s commitment to these principles. A successful second compact would be a testament to Liberia’s progress in strengthening institutions, promoting transparency, and fostering a climate conducive to private sector investment. The upcoming visit represents a significant opportunity for Liberia to demonstrate its commitment to these values and to secure a substantial investment in its future development. The MCC’s decision, expected at the December 2025 board meeting, carries significant weight, and the outcome of this assessment mission will be crucial in determining whether Liberia qualifies for this substantial development partnership.
