KABANDA CHULU
Washington, DC
ZAMBIA is this year expected to receive over US$400 million grant from the United States (US) government through its Millenium Challenge Corporation (MCC) that will be used to support the growth of agriculture production and agroprocessing, aimed at increasing trade in domestic and export agricultural markets.
MCC is an agency of the US government, which provides large grants to deserving countries to implement infrastructure projects that support economic growth and poverty reduction.
Through the first compact agreement signed in 2012, the MCC provided the investment in water, sanitation and [Bombay] drainage infrastructure in selected areas of Lusaka amounting to US$355 million in 2012.
Speaking last week after signing an agreement with MCC vice-president for Compact Operations Kyeh Kim, which outlined the scope and objectives of the proposed second Compact development project for Zambia, Minister of Finance and National Planning Situmbeko Musokotwane said the development is a significant step for the country in addressing multiple challenges being faced.
Dr Musokotwane said the signing of the agreement isnot only a clear testimony of the result-oriented and methodical approach of the New Dawn administration but is also another demonstration of the strong partnership between the US and Zambia.
“We are glad that the MCC selected Zambia for the development of a second Compact in December 2021, and since then, Government and MCC have, therefore, been developing the second Compact from 2022. The second Compact will focus on the agriculture sector and aims to support the growth of agriculture production and agro-processing,” he said.
“We also intend to propose for consideration for MCC financing to Agriculture Policy Reform and Institutional Strengthening aimed at increasing private sector trade in domestic and export agricultural markets.
“We further intend to include on improvement of access roads and internal road infrastructure in prioritized agriculture corridors [farm blocks], and road maintenance and development of Asset Finance project aimed at increasing access to affordable finance for investment in energy, irrigation, logistics, and processing [EILP] assets for agriculture value chains.”..https://enews.daily-mail.co.zm/welcome/home
