MCA innovation in jeopardy

Last Friday's New York Times front page story had the ominous title "U.S. Agency's Slow Pace Endangers Foreign Aid". But the article went on to present a nuanced analysis about the delicate balance between the short term concerns of Congress as it puts together a budget for the Federal Government and for foreign aid programs in FY 2008 and the long-term commitment to developing countries through the Millennium Challenge Corporation's country programs.

One of the reforms embodied in the MCC was the ability to provide developing countries with a reliable stream of funding for development projects. This was long overdue recognition that development takes time and the way that U.S. aid programs have traditionally been funded, relying on annual appropriations from Congress, did not allow developing countries to put into place multi-year programs--the kind that are needed for the challenges that face the poorest communities.

As appropriators in Congress are moving to finalize the appropriations bills that will fund the federal government next year, they are searching for places to find savings. Unfortunately they are eyeing the