The grant from Millennium Challenge Corporation (MCC) is in line with the principles of the Jakarta Commitment, signed by the Government of Indonesia on 19 January 2009 and adopted by 26 Indonesian development partners. Based on the Jakarta Commitment, Indonesia and development partners will act together to strengthen ownership of the counties that receive development assistance, and maximize the impact of the assistance after the lack of official development assistance (ODA).
Different from other grants, MCC gives flexibility and authority for Indonesia to develop programs initiated with the involvement of many stakeholders. The involvement of multi-stakeholders from various government ministries/agencies, academics, the private sector, and civil society organizations, is a novelty and never happened before in designing a grant program from foreign partners. Therefore, this MCC competitive grant program is in line with the Jakarta Commitment principles.
The grant is used to fund three projects: Green Prosperity, Community-Based Health and Nutrition to Reduce Stunting, and Procurement Modernization.
MCC Compact Grant is one of the main pillars of the Comprehensive Partnership between the United States and Indonesia. The Compact Grant aims to reduce poverty through economic growth in Indonesia, and takes place for five years, from 2013 until 2018.