MCC terminates $11 million in aid to Honduras
Yesterday, the Millennium Challenge Corporation officially terminated $11 million in aid to Honduras and put on hold an additional $4 million intended for a road project to continue to pressure the de facto coup government in Honduras to accept the San Jose Accords. Here is an excerpt from the Millennium Challenge Corporation's statement released after yesterday's board meeting:
MCC’s Board today announced that, given recent events in Honduras that are inconsistent with a commitment to democratic governance, MCC will terminate two planned activities in the transportation sector totaling approximately $11 million from its Compact with Honduras. As a result of the meeting, MCC also will put on hold approximately $4 million of its contribution for work on the CA-5 road project jointly funded with the Central American Bank for Economic Integration (CABEI). MCC will continue with existing activities for which funds have been contractually obligated and with the administration of the Compact with Honduras to ensure proper use of funds. MCC also will continue to monitor the situation in Honduras in close coordination with the State Department and other U.S. Government agencies.