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Bush Requests $3 Billion for 2006 Millennium Challenge Funding

Paul Applegarth, chief executive officer of the Millennium Challenge Corporation (MCC), February 7 issued a statement explaining the Bush administration's $3 billion request to Congress for MCC funding for the fiscal year beginning October 1 (FY 2006).

The proposed spending would double the amount appropriated for MCC for the current fiscal year (FY 2005), Applegarth said.

The administration wants the annual amount to rise to $5 billion by FY 2007, he said.

Following is the text of Applegarth's statement:

February 7, 2005

Millennium Challenge Account (MCC) Statement

MCC CEO APPLEGARTH COMMENTS ON FISCAL YEAR 2006 BUDGET REQUEST

Washington, D.C. -- Today, MCC CEO Paul Applegarth released this statement after President Bush submitted the fiscal year 2006 budget to Congress. The budget requests $3 billion for the Millennium Challenge Account.

The President and the Millennium Challenge Corporation are committed to reducing poverty through promoting economic growth in the developing world. The 2006 budget request of $3 billion, while less than the originally planned amount for this year, doubles the 2005 appropriated level and allows for an effective expansion of MCA assistance to $5 billion in 2007.

It is no longer realistic to propose $5 billion in FY 2006 since the Administration did not receive its full requests in the last two years. The 2006 request, combined with the amounts appropriated in 2004 and 2005, provides resources consistent with past Congressional funding decisions.

We look forward to working with the President and Congress to reach the $5 billion goal for FY 2007. As stewards of taxpayer dollars, MCC is committed to achieving tangible results on the dollars invested by working in partnership with eligible countries to break the cycle of poverty. Not only does this reflect America's core values, but by stimulating economic growth and encouraging good governance, it also enhances U.S. security and promotes freedom and democracy throughout the world.

Millennium Challenge Corporation (MCC), a U.S. government corporation designed to work with some of the poorest countries in the world, is based on the principle that aid is most effective when it reinforces sound political, economic, and social policies that promote poverty reduction through economic growth.