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Sri Lanka has still not lost MCC grant

23 Sep 2019

The Millennium Challenge Corporation (MCC) of America says Sri Lanka has still not lost the  $ 480 million grant. Clarifying a news report appearing on The Sunday Morning newspaper, the MCC said that a final decision on the grant will be taken in December. As reported in the newspaper, the MCC board which met last week had discussed the delay in Sri Lanka not signing the agreement and its next move. The board will now meet again in December for its annual selection process and will decide the next step. “There is not much we can do now. We are hopeful that under a new government, we will be able to get this approved before the December meeting. I understand this will take time but the timing is not ideal with the election,” Resident Country Director for the MCC Jenner Edelman had told the newspaper. Edelman had said that the situation with Sri Lanka is unique so she was uncertain what the MCC board would do come December. “We have never had a situation like this where a programme was approved several months ago and the same government that requested the grant and submitted the proposal hasn’t yet approved it,” she said. However, Edelman added that it will be very difficult for her management to communicate to the MCC board in December that they should continue with the deal if it seemed Sri Lanka neither wants nor needs the grant.


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