This afternoon CGD hosted a panel discussion on Nicaragua's MCA compact. The event featured Manuel Agosin, Regional Economic Adviser at the Inter-American Development Bank, Manuel Orozco, Senior Associate and Executive Director for the Remittance and Rural Development Project at Inter-American Dialogue, Salvador Stadthagen, Nicaragua's Ambassador to the United States, and James Vermillion, Managing Director for Latin America at the Millennium Challenge Corporation. Steve Radelet, CGD's Senior Fellow, moderated the discussion.Speaking on behalf of his government, Ambassador Stadthagen expressed his satisfaction with the MCA approach to development. He underlined country ownership as an important aspect of the program, which allows for meaningful consultation on project design between the donor and the recipient. That significant element, he said, has been lacking in development programs.Ambassador Stadthagen insisted it was important that the MCA be additional to, but not a replacement of, current development aid, such as USAID funds.Responding to misgivings about Nicaragua's selection as an MCA country, James Vermillion said they were misplaced."Nicaragua was not picked at the MCC Board's discretion," he explained. "They met MCA selection requirements."The panelists shared their views on the $175 million compact's main components, namely, transportation infrastructure, rural business development, and property rights. They also discussed corruption and the current political crisis.We will post the transcripts of the discussion as soon as they become available.
CGD blog posts reflect the views of the authors, drawing on prior research and experience in their areas of expertise.
CGD is a nonpartisan, independent organization and does not take institutional positions.
