Strategies to gradually reduce part of the debt

Madagascar’s national electricity and water company owes USD 335 million to its fuel and energy suppliers.

In his first interview with the press, new CEO Ron Weiss addressed the worrying 335 million USD debt of Madagascar’s national electricity and water company. He proposed strategies to gradually reduce these debts, noting that non-payment could delay fuel supplies and cause power outages.

Weiss, who has been General Manager of Jirama for over two months, assessed the situation. He explained that Jirama’s debt falls into two categories: a smaller portion owed to small suppliers and a much larger sum owed to fuel suppliers and independent power producers.

The company plans to pay the small suppliers using its own funds, with instructions already given to the finance team to ensure monthly payments for their services.

However, repaying the majority of debts to fuel and energy suppliers is more complex. « Several proposals have been prepared with the government, and we are currently discussing these with them », said Weiss. He assured that Jirama is committed to fully repaying its debts.