Niger Compact - Constraints Analysis

MCC’s evidence-based approach to its investments begins with a mutual understanding of a country’s main growth challenges. During the first phase of the compact or threshold program development process, MCC and the selected partner country, jointly conduct a constraints-to-growth analysis (CA). This analysis identifies the constraints to private investment and entrepreneurship that are most binding to economic growth in the country. The results of this analysis enable the country, together with MCC, to select activities most likely to contribute to sustainable, poverty-reducing growth.

The Constraints Analysis Report for the Niger Compact highlights the following constraints: 

1. Lack of access to water for productive uses, which inhibits agricultural productivity and household food security; and 
2. Physical access and institutional barriers to trade, which create high transaction costs and lower sales volume