| This is the third meeting between Andry Rajoelina and Victoria Kwakwa (Photo). |
A portfolio of more than four billion dollars is available to Madagascar. This is the total amount of the World Bank’s investment program in Madagascar.
More than 4 billion dollars. This is the portfolio planned by the World Bank to finance twenty-six projects in Madagascar. This figure was revealed yesterday during a bilateral meeting between Andry Rajoelina, President of the Republic, and Victoria Kwakwa, Vice-President of the World Bank for Eastern and Southern Africa. An interview held on the sidelines of the African Union (AU) summit in Addis Ababa, Ethiopia.
More precisely, the amount is four billion one hundred and thirty million dollars. It is made up of donations and loans. This is the total envelope of the World Bank Investment Program in Madagascar, after an upward revision made in September 2023. Twenty-six projects of national scope, but also four operations of regional dimension, are funded by this Program. There are projects relating to human development, such as education, health, nutrition, and even social protection. Others concern infrastructure in the areas of energy and roads. There are also sectors affecting sustainable development such as the water sector and environmental protection, as well as the area of equitable growth, with the Integrated Growth Program (ICP) and the Digital Governance Project and Malagasy identity management system (Prodigy). All twenty-six projects are already underway. According to sources close to the matter, there is no specific deadline for this four billion dollar Program. “It all depends on each project. There are certain projects that will only be completed in 2027,” she explains.
So far, around one billion dollars, out of the more than four billion planned in the envelope for the Big Island, has been disbursed. Approximations in disbursement procedures, or lack of control of projects by public or semi-public depositories would be the reasons. It was said yesterday that the Bretton Woods institution plans to send experts to support Madagascar in order to boost this disbursement rate.
Partners
Beyond the economic and social scope, the diplomatic aspect of the Program was highlighted by Lova Ranoromaro, spokesperson for the President of the Republic and director of international affairs at the presidential institution, following the meeting of ‘yesterday. According to her, “the solidity of the bonds of trust between Madagascar and the World Bank” was underlined during the bilateral meeting. She talks about “partners”, to reinforce her words.
In addition to the Investment Program, the budgetary aid of $100 million, acquired on June 9, 2023, is presented as one of the examples of “this mutual trust” between the Bank and the Big Island. This, as part of a Development Policy Support Operation (DPO). It is a financial support mechanism divided into three tranches. The 100 million in June are the first tranche. It is intended to support reforms for inclusive and resilient growth.
Still to affirm the confidence of the Bretton Woods institution towards the Big Island, it was explained that, often, traditional donors are reluctant to grant or disburse funding during an electoral period for fear of a possible crisis which would cause all projects fall through. However, the financial institution disbursed budgetary aid and increased the envelope for its investment program until the presidential election was about to begin.
The DPO, moreover, is paid directly into state coffers without ex post monitoring by the Bank. “The leadership and the will demonstrated by the President of the Republic to initiate the necessary reforms” are among the points which encourage the World Bank “in the partnership with Madagascar”, affirms, moreover, the spokesperson for the head of the Republic. ‘State.
The energy sector, more precisely the improvement of the governance of the state company, Jirama, was one of the points highlighted during the meeting between the President of the Republic and the vice-president of the World Bank to the East and Southern Africa region yesterday. It was said that a “Governance and Management Committee” of the company will be erected. His coordinator will be appointed within ten days or two weeks, according to the spokesperson for the Head of State, who summarized the bilateral meeting.
Garry Fabrice Ranaivoson