4.13 billion USD funds for 30 projects

Madagascar is set to receive a substantial investment of up to 4.13 billion USD from the World Bank for 30 diverse projects across various sectors.

This significant announcement was made during a meeting between the President of Madagascar and the World Bank’s Vice President for Eastern and Southern Africa on the sidelines of the African Union (AU) Summit in Addis Ababa, Ethiopia.

The investment amount, which was revised upward in September 2023, encompasses grants and loans allocated to finance 26 national projects and 4 regional operations that are already in progress. These projects span a wide array of sectors, with a strong focus on human development, including initiatives in education, health, and social protection.

Furthermore, efforts are directed towards fostering equitable growth and sustainable development, exemplified by projects such as the Integrated Growth Program (PIC) and the Digital Governance of Malagasy Identity Management Project (Prodigy). The investment program also encompasses crucial infrastructure projects in road and energy sectors, with particular emphasis on enhancing governance in Jirama, the national electricity utility. To facilitate this, a « Governance and Management Committee » will be established within the public company, with the coordinator set to be appointed by early March.

While no specific end date has been set for the funding program, the completion timeline varies for each project, with some expected to conclude by 2027. However, it’s notable that only approximately 1 billion USD of the allocated funds has been disbursed thus far. This delay is attributed to the intricate nature of disbursement procedures and a shortage of project expertise among donors. To address this, the World Bank plans to deploy experts to support Madagascar in enhancing its disbursement rate, ensuring optimal utilization of the allocated funds for the country’s development agenda.