Africa Finance Corporation AFC, said that the Republic of Madagascar has become the twenty-second member state of the Corporation. The Republic of Madagascar has sustained positive economic growth over the last five years, with GDP growth outperforming several other economies within the region, driven by the implementation of its new economic and social development strategy. This sustained growth has been led predominantly by the tertiary sector, with the performance of the export industry leading to a trade surplus of +0.8 per cent of GDP, well above the African average of -12.97 per cent deficit.
Madagascar’s strategy, spearheaded by the National Development Plan, focuses on developing inclusive growth and sustainable development especially within rural communities where much of the population lives below the poverty line. The Country’s economic and social development strategy places a focus on the development and rehabilitation of key regional infrastructure, with emphasis on transport, logistics and power, as it aims to achieve its goal of sustainable development. Following the completion of Madagascar’s accession to the membership of AFC, on the 27th August 2019, the Corporation will begin discussions with the private and public authorities to determine how best AFC can support its future growth and development of the Madagascan economy.
Samaila Zubairu, President & CEO of AFC, commented on the announcement: “It is my pleasure to welcome Madagascar as the 22nd Member State of AFC. Over the past decade Madagascar has undergone reforms demonstrative of its commitment towards sustainable growth through key developments within its tertiary sector. “The country’s exciting potential for growth provides a wealth of opportunities for AFC. As Madagascar seeks to rehabilitate key regional infrastructure, we will look to help build an economic ecosystem that will provide integration and growth. We look forward to working with the people of Madagascar to assist in ensuring a strong future for the country.”
Richard Randriamandrato, Madagascan Minister of Economy and Finance, also commented on the announcement: “As a Country we are committed to the reduction of poverty in Madagascar, of which development of infrastructure plays an integral role. We see AFC as a key solution provider towards our development goals and look forward to working closely in the coming years.”
