The Department of Government Efficiency (DOGE) in the United States, led by Elon Musk, is reportedly shutting down the Millennium Challenge Corporation (MCC), according to a recording of a staff meeting and an email sent to staff, seen by Reuters.
The MCC was established to reduce poverty and promote economic growth globally. Kosovo is among the countries with which this agency collaborates.
The push to close MCC is part of efforts by President Donald Trump and his advisor, Musk, to shrink the federal government, arguing that American taxpayers’ money is being wasted.
During a meeting on Wednesday, MCC staff were informed that all of the agency’s programs would be closed, and staff numbers would be reduced, according to the recording of the meeting. Kyeh Kim, a senior official at MCC, told staff, “Foreign aid is not a priority for this administration, so the work of MCC must end.”
DOGE officials visited the agency last week and began discussions with leadership, who are attempting to save the agency, Kim said.
MCC has not responded to Reuters’ request for comment.
Politico was the first to report on this move, citing an email sent to the agency’s staff on Tuesday, which Reuters later reviewed. The email gave nearly 300 employees a deadline of April 29 to choose between voluntary early retirement or resigning and receiving pay until September. Otherwise, they would face administrative leave.
The Trump administration previously dismantled the primary U.S. aid agency, USAID, which managed around $40 billion in aid annually.
MCC, created by the U.S. Congress with bipartisan support in 2004, has an annual budget of around $900 million. The agency works with developing countries on projects such as improving electricity supply for businesses and enhancing road infrastructure, enabling farmers to get their goods to market.
MCC has collaborated with Kosovo since 2016.
Kosovo-MCC Partnership: Energy Program Launch
Last year, Kosovo’s government and MCC launched the Compact Program, aimed at providing solutions for clean energy. This program is valued at $202 million from MCC, with an additional $34.7 million from Kosovo’s contribution.
The program includes energy storage, with Kosovo set to develop high-capacity batteries with a 170-megawatt capacity, providing around 347 megawatt-hours of reserve energy.
MCC has also supported economic development in Kosovo, with an additional $50 million in funding for various projects. The agency also offered scholarships for women in the energy sector.
