You’re forgiven if you’ve never heard of the Millennium Challenge Corporation, or MCC. I also won’t fault you if you’ve heard of it but think it’s an oddly named private business. Or maybe a part of the State Department? Whatever your level of awareness, MCC (an independent US aid agency, for those still wondering) is leading the way on public energy infrastructure funding…and it’s time more people knew about it.

Right now, little is moving in US development assistance. But just last week, MCC and the Government of Côte d’Ivoire signed a $300 million compact to modernize the Ivorian electricity grid and invest in the West African Power Pool. Coupled with $22.5 million from the Government of Côte d’Ivoire, this effort will strengthen the regional power market through large infrastructure investments in the grid network and regulatory, financial, and operational reforms of regional energy institutions. This combination of infrastructure and reforms has a projected eye-popping 33% economic rate of return for the West African region.

And Côte d’Ivoire isn’t the only country in which MCC is doubling down on the energy sector. As it stands (though programs are still in flux — see Note below), MCC is currently investing $2.1 billion in energy infrastructure across nine countries.

Note: Following its August 2025 Board of Directors Meeting, MCC noted that it would announce additional information on the Board’s actions to terminate certain existing programs. As such, this table may change as decisions are finalized.

Just a few months ago, MCC looked like it might be headed to the US aid graveyard, so this bold, big new energy investment in Côte d’Ivoire — the first for MCC in this administration — is a huge accomplishment and signal of sustained relevance. As the last remaining US agency solely dedicated to using grant funding to promote economic growth, MCC has a critical niche to fill. Its investments in public infrastructure grow markets, benefit firms, and create jobs, both in partner countries and the United States. And the agency only works in countries with a high standard of governance, which ensures value for money. In doing all this, MCC’s infrastructure investments create the conditions for follow-on private sector investment, including opportunities for the US Development Finance Corporation.

Seeing MCC positioned as a leading tool of US foreign policy is something to applaud in and of itself. But what’s even more heartening is how MCC will execute this compact.

• Strict five-year clock. MCC and the Government of Côte d’Ivoire will have five years to implement this program. No more, no less. The strict timeline is essential for large infrastructure investments that tend to slip on milestones and deliverables.
• Government-to-government funding. The investment is an agreement between the two governments. This grid diplomacy gives the US a critical seat at the table for West African power integration.
• Commitment to large-scale public infrastructure. $300 million over five years allows for transformative investments that largely wouldn’t be possible without the budget, time, and pure grant funding MCC brings.
• Transparent accountability. Once the five-year clock starts, MCC publishes quarterly updates on key performance indicators, showing what has been accomplished and how far the investments are from their end-of-project targets. And at the end of the investment, MCC contracts an independent evaluator to determine the program’s impact and the extent to which it will be sustained.

In signing the new Côte d’Ivoire Regional Energy Compact, US Deputy Secretary of State Christopher Landau said, “a stronger energy sector in West Africa creates new markets for American companies, supports U.S. jobs, and contributes to regional stability that benefits us all.” Energy investments focused on energy abundance, growth, and job creation are a win-win for the US and for partner countries. The Hub will continue to track MCC’s energy investments in this changed political landscape, including what results are achieved and sustained. Hopefully, this is just the first salvo in MCC’s efforts to promote global energy security in this administration.