[Federal Register Volume 86, Number 174 (Monday, September 13, 2021)]
[Notices]
[Pages 50911-50913]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-19694]


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MILLENNIUM CHALLENGE CORPORATION

[MCC FR 21-08]


Report on Countries That Are Candidates for Millennium Challenge 
Account Eligibility in Fiscal Year 2022 and Countries That Would Be 
Candidates But for Legal Prohibitions

AGENCY: Millennium Challenge Corporation.

ACTION: Notice.

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SUMMARY: The Millennium Challenge Act of 2003 requires the Millennium 
Challenge Corporation to publish a report that identifies countries 
that are ``candidate countries'' for Millennium Challenge Account 
assistance during fiscal year 2022. The report is set forth in full 
below.

(Authority: Section 608(a) of the Millennium Challenge Act of 2003, 
as amended, 22 U.S.C. 7701, 7707(a))

    Dated: September 8, 2021.
Thomas G. Hohenthaner,
Acting VP/General Counsel and Corporate Secretary.

Report on Countries That Are Candidates for Millennium Challenge 
Compact Eligibility for Fiscal Year 2022 and Countries That Would Be 
Candidates But for Legal Prohibitions

Summary

    This report to Congress is provided in accordance with section 
608(a) of the Millennium Challenge Act of 2003, as amended, 22 U.S.C. 
7701, 7707(a) (the Act).
    The Act authorizes the provision of assistance for global 
development through the Millennium Challenge Corporation (MCC) for 
countries that enter into a Millennium Challenge Compact with the 
United States to support policies and programs that advance the 
progress of such countries to achieve lasting economic growth and 
poverty reduction. The Act requires MCC to take a number of steps in 
selecting countries with which MCC will seek to enter into a compact, 
including determining the countries that will be eligible countries for 
fiscal year (FY) 2022 based on (a) a country's demonstrated commitment 
to (i) just and democratic governance, (ii) economic freedom, and (iii) 
investments in its people, (b) the opportunity to reduce poverty and 
generate economic growth in the country, and (c) the availability of 
funds to MCC. These steps include the submission to the congressional 
committees specified in the Act and publication in the Federal Register 
of reports on the following:
     The countries that are ``candidate countries'' for FY 2022 
based on their per capita income levels and their eligibility to 
receive assistance under U.S. law and countries that would be candidate 
countries but for specified legal prohibitions on assistance (section 
608(a) of the Act);
     The criteria and methodology that the MCC Board of 
Directors (the Board) will use to measure and evaluate the relative 
policy performance of the ``candidate countries'' consistent with the 
requirements of subsections (a) and (b) of section 607 of the Act in 
order to determine ``eligible countries'' from among the ``candidate 
countries'' (section 608(b) of the Act); and
     The list of countries determined by the Board to be 
``eligible countries'' for FY 2022, identification of such countries 
with which the Board will seek to enter into compacts, and a 
justification for such eligibility determination and selection for 
compact negotiation (section 608(d) of the Act).
    This report is the first of three required reports listed above.

Candidate Countries for FY 2022

    The Act requires the identification of all countries that are 
candidate countries for FY 2022 and the identification of all countries 
that would be candidate countries but for specified legal prohibitions 
on assistance. Under sections 606(a) and (b) of the Act, candidate 
countries must qualify as low income or lower middle income countries 
as defined in the Act.
    Specifically, a country will be a candidate country in the low 
income category for FY 2022 if it
     has a per capita income that is not greater than the World 
Bank's lower middle income country threshold for such fiscal year 
($4,095 gross national income per capita for FY 2022);
     is among the 75 countries identified by the World Bank as 
having the lowest per capita income; and
     is not ineligible to receive United States economic 
assistance under part I of the Foreign Assistance Act of 1961, as 
amended (the Foreign Assistance Act), by reason of the application of 
the Foreign Assistance Act or any other provision of law.
    A country will be a candidate country in the lower middle income 
category for FY 2022 if it
     has a per capita income that is not greater than the World 
Bank's lower middle income country threshold for such fiscal year 
($4,095 gross national income per capita for FY 2022);
     is not among the 75 countries identified by the World Bank 
as having the lowest per capita income; and

[[Page 50912]]

     is not ineligible to receive United States economic 
assistance under part I of the Foreign Assistance Act by reason of the 
application of the Foreign Assistance Act or any other provision of 
law.
    Under section 606(c) of the Act as applied for FY 2022, a country 
with per capita income changes from FY 2021 to FY 2022 such that the 
country would be reclassified from the low income category to the lower 
middle income category or vice versa will retain its income status in 
its former category for FY 2022 and two subsequent fiscal years (FY 
2023 and FY 2024). A country that has transitioned to the upper middle 
income category does not qualify as a candidate country.
    Pursuant to section 606(d) of the Act, the Board identified the 
following countries as candidate countries under the Act for FY 2022. 
In so doing, the Board referred to the prohibitions on assistance to 
countries for FY 2021 under the Department of State, Foreign 
Operations, and Related Programs Appropriations Act, 2021 (Div. J., 
Pub. L. 116-94) (FY 2021 SFOAA).
Candidate Countries: Low Income Category
1. Afghanistan
2. Angola
3. Bangladesh
4. Benin
5. Bhutan
6. Bolivia
7. Burkina Faso
8. Burundi
9. Cabo Verde
10. Cameroon
11. Central African Republic
12. Chad
13. Congo, Democratic Republic of the
14. Congo, Republic of the
15. C[ocirc]te d'Ivoire
16. Djibouti
17. Egypt
18. El Salvador
19. Eswatini
20. Gambia, The
21. Ghana
22. Guinea
23. Haiti
24. Honduras
25. India
26. Kenya
27. Kiribati
28. Kyrgyzstan
29. Laos
30. Lesotho
31. Liberia
32. Madagascar
33. Malawi
34. Mauritania
35. Mongolia
36. Morocco
37. Mozambique
38. Nepal
39. Niger
40. Nigeria
41. Pakistan
42. Papua New Guinea
43. Rwanda
44. Sao Tome and Principe
45. Senegal
46. Sierra Leone
47. Solomon Islands
48. Somalia
49. Tajikistan
50. Tanzania
51. Timor-Leste
52. Togo
53. Tunisia
54. Uganda
55. Ukraine
56. Uzbekistan
57. Vanuatu
58. Vietnam
59. Yemen
60. Zambia
Candidate Countries: Lower Middle Income Category
1. Algeria
2. Belize
3. Indonesia
4. Micronesia, Federated States of
5. Philippines
6. Samoa

Countries That Would Be Candidate Countries But for Legal Provisions 
That Prohibit Assistance

    Countries that would be considered candidate countries for FY 2022 
but are ineligible to receive United States economic assistance under 
part I of the Foreign Assistance Act by reason of the application of 
any provision of the Foreign Assistance Act or any other provision of 
law are listed below. This list is based on legal prohibitions against 
economic assistance that apply as of July 27, 2021.
Prohibited Countries: Low Income Category
     Burma is ineligible to receive foreign assistance, 
including due to concerns relative to its record on human rights and 
pursuant to the military coup restriction in section 7008 of the FY 
2021 SFOAA.
     Cambodia is ineligible to receive foreign assistance 
pursuant to section 7043(b)(2) of the FY 2021 SFOAA, which restricts 
(with limited exceptions) assistance to the Government of Cambodia 
unless the Secretary of State certifies that the Government of Cambodia 
is taking effective steps to strengthen regional security and stability 
and respect the rights and responsibilities enshrined in the 
Constitution of the Kingdom of Cambodia.
     Comoros is ineligible to receive foreign assistance due to 
its status as a Tier 3 country under the Trafficking Victims Protection 
Act of 2000 (22 U.S.C. 7101 et seq.).
     Eritrea is ineligible to receive foreign assistance due to 
its human rights record and its status as a Tier 3 country under the 
Trafficking Victims Protection Act of 2000 (22 U.S.C. 7101 et seq.).
     Ethiopia is ineligible to receive foreign assistance due 
to its human rights record.
     Guinea-Bissau is ineligible to receive foreign assistance 
due to its status as a Tier 3 country under the Trafficking Victims 
Protection Act of 2000 (22 U.S.C. 7101 et seq.).
     Iran is ineligible to receive foreign assistance, 
including due to its status as a Tier 3 country under the Trafficking 
Victims Protection Act of 2000 (22 U.S.C. 7101 et seq.).
     Korea, North is ineligible to receive foreign assistance, 
including due to its status as a Tier 3 country under the Trafficking 
Victims Protection Act of 2000 (22 U.S.C. 7101 et seq.).
     Mali is ineligible to receive foreign assistance pursuant 
to the military coup restriction in section 7008 of the FY 2021 SFOAA.
     Nicaragua is ineligible to receive foreign assistance, 
including due to its status as a Tier 3 country under the Trafficking 
Victims Protection Act of 2000 (22 U.S.C. 7101 et seq.).
     South Sudan is ineligible to receive foreign assistance 
pursuant to section 7042(i)(2) of the FY 2021 SFOAA due to its human 
rights record.
     Sudan is ineligible to receive foreign assistance 
including due to the military coup restriction in section 7008 of the 
FY 2021 SFOAA.
     Syria is ineligible to receive foreign assistance due to 
its status as a Tier 3 country under the Trafficking Victims Protection 
Act of 2000 (22 U.S.C. 7101 et seq.).
     Zimbabwe is ineligible to receive foreign assistance, 
including pursuant to section 7042(k)(2) of the FY 2021 SFOAA, which 
prohibits (with limited exceptions) assistance for the central 
government of Zimbabwe unless the Secretary of State certifies and 
reports to Congress that the rule of law has been restored, including 
respect for ownership and title to property, and freedoms of 
expression, association, and assembly.
Prohibited Countries: Lower Middle Income Category
     Sri Lanka is ineligible to receive foreign assistance 
pursuant to section 7044(e)(2) of the FY 2021 SFOAA,

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which restricts (with limited exceptions) assistance for the central 
government unless the Secretary makes certain certifications regarding 
actions taken by the Government of Sri Lanka and reports to the 
Committees on Appropriations.
    Countries identified above as candidate countries, as well as 
countries that would be considered candidate countries but for the 
applicability of legal provisions that prohibit U.S. economic 
assistance, may be the subject of future statutory restrictions or 
determinations, or changed country circumstances, that affect their 
legal eligibility for assistance under part I of the Foreign Assistance 
Act by reason of application of the Foreign Assistance Act or any other 
provision of law for FY 2022.

[FR Doc. 2021-19694 Filed 9-10-21; 8:45 am]
BILLING CODE 9211-03-P