The African Development Bank (AfDB) has signed five project financing agreements with the government of Madagascar worth US$11.23mn
The first two agreements focus on youth entrepreneurship promotion programme to train and finance 410 young people, 50 per cent of them women, to become entrepreneurs in agricultural and agro-industrial value chains in Madagascar.
AfDB has also signed two other projects to strengthen and interconnect electric power transmission in Madagascar (PRIRTEM). This study will prepare the major construction project for the Tamatave - Antananarivo transmission line associated with the reinforcement of the Antananarivo distribution network. The second study focuses on the preparation of the Integrated Agricultural Growth Cluster Project in the South (PICAS).
Signing for the Malagasy government, the Minister of Finance and Budget, Vonintsalama Sehenosoa Andriambololona, said that the financing in the sectors of energy and agriculture will contribute to accelerating the transformation of agricultural value chains, industrialisation and the creation of formal wage employment.
They will also contribute to meeting the basic health needs of the people. Skills development and support for small and medium-sized enterprises will also be part of the activities.
In 2017, AfDB approved projects to develop infrastructure energy and transport to support inclusive growth and support for agricultural transformation and industry development in Madagascar.
The Bank began its operations in Madagascar in 1977, and as of 31 December 2017, it approved a total of 89 operations, mainly in the transport, industry, finance and agriculture sectors, for a total of cumulative amount of US$1.88bn. The current portfolio of the bank in the country includes 14 operations which cover three main sectors such as agriculture (54.71 per cent), transport (31.44 per cent) and governance (11.61 per cent).