MONROVIA – Liberia will on Monday, September 22, 2025, host a high-level delegation from the U.S. Government’s Millennium Challenge Corporation (MCC) for an official mission that could determine the country’s future with one of the world’s most consequential development partnerships.
The delegation, led by Ms. Carrie Monahan, Managing Director for Africa at MCC, includes senior experts across trade, finance, and economic analysis. They are Deidre Fair, Director of Finance and Trade; Steve Anderson, Economist; Peter Glick, Economist; Sophia Marcus, Economist; Sheena Cooper, Finance and Trade Specialist; and Arif Mamun, Deputy Vice President for the Economic Analysis Division.
Their mission is a decisive step ahead of MCC’s next board meeting in December 2025, when Liberia’s eligibility for a second Compact will be reviewed. The team will engage ministries, regulators, and private sector stakeholders, including the Ministry of Finance, Ministry of Foreign Affairs, National Investment Commission, Central Bank of Liberia, Liberia Institute of Statistics and Geo-Information Services (LISGIS), Ministry of Mines and Energy, Liberia Extractive Industries Transparency Initiative (LEITI), and others. According to the Ministry of Finance and Development Planning (MFDP), these engagements will form part of MCC’s “Constraints Analysis,” a diagnostic study designed to pinpoint the structural barriers hindering Liberia’s growth and to identify sectors best suited for targeted investment.
Finance Minister Augustine Kpehe Ngafuan welcomed the visit as an opportunity to reset Liberia’s economic trajectory and attract both U.S. and global private capital. “The MCC is embracing a win-win development model under the current U.S. administration,” Ngafuan said. “They are seeking to support sectors that not only drive Liberia’s economic progress but also create opportunities for U.S. investment.”
The visit also signals the resumption of a critical process that was temporarily stalled due to shifts in U.S. domestic politics and global development priorities. For Liberia, the stakes are high: securing a second Compact would not only bring hundreds of millions of dollars in investment but also reaffirm international confidence in Liberia’s governance and economic direction.
Liberia’s first MCC Compact, signed in 2015 and valued at $257 million, focused heavily on infrastructure, particularly the energy and road sectors. Its centerpiece was the rehabilitation of the Mount Coffee Hydropower Plant, which expanded electricity generation capacity in Monrovia and surrounding areas. The Compact also supported the training of the Liberia Electricity Corporation (LEC) staff and worked on road maintenance reforms. While these achievements were widely praised, challenges persisted. Critics pointed to delays in project implementation, weak institutional capacity, and governance concerns that limited the Compact’s overall impact. Civil society organizations also argued that Liberia’s chronic electricity shortages, high tariffs, and limited distribution network meant that the benefits of the Compact were not equitably shared across the population.
“MCC money did help stabilize the energy sector, but the ripple effects were less transformative than expected,” said an analyst with a local governance watchdog. “The hope is that a second Compact will take into account the structural weaknesses that continue to stifle growth.”
The potential second Compact is widely seen as a test of President Joseph Boakai’s government’s ability to improve governance, strengthen economic management, and demonstrate accountability. Liberia’s ranking on MCC’s scorecards, measuring indicators such as control of corruption, trade policy, and investment in health and education, will play a critical role in the board’s decision. If approved, the second Compact could target sectors like agriculture, transport, and digital infrastructure, all of which are key to inclusive growth. It could also prioritize reforms in revenue generation, trade facilitation, and land governance, aligning with President Joseph Boakai ARREST Agenda for Prosperity and Development and MCC’s global investment strategy.
For ordinary Liberians, the promise of an MCC partnership is not abstract, it translates into the possibility of reliable power, job creation, and better services. However, civil society leaders caution that without transparency and citizen participation, Liberia risks repeating past mistakes. “The MCC process is not just about money,” said an activist from the Coalition for Transparency and Accountability. “It’s about whether Liberia can demonstrate the discipline to manage resources responsibly and prioritize its people.”
The MCC delegation’s visit comes at a politically sensitive time, as Liberia continues to grapple with fiscal shortfalls, governance challenges, and increasing demands from its citizens for accountability. How the Boakai administration engages with the MCC team may influence not just the Compact negotiations but also broader perceptions of Liberia’s ability to deliver reform. For now, optimism and caution coexist. As one business leader noted, “This second Compact could be the turning point Liberia needs, or another missed opportunity if politics gets in the way.”
Background on MCC
The Millennium Challenge Corporation (MCC) is an independent U.S. government agency created by Congress in 2004 to reduce global poverty through sustainable economic growth. Unlike traditional aid programs, MCC provides large-scale grants, called “Compacts,” to countries that meet strict governance and policy performance criteria. Its model emphasizes country ownership, transparency, and accountability.
Liberia’s first Compact, signed in 2015, was valued at $257 million and prioritized energy and road infrastructure, notably rehabilitating the Mount Coffee Hydropower Plant. Despite notable achievements, implementation challenges and governance concerns limited its overall impact. The second Compact, if approved in December 2025, could target new areas such as agriculture, transport, and digital economy, with a sharper focus on addressing structural bottlenecks to inclusive growth.
