The Republic of Madagascar is an island with a total
area of: 587,040 sq. km (land: 581,540 sq. km water: 5,500 sq. km) located
in Southern Africa; in the Indian Ocean, east of Mozambique
Geographic coordinates: 20 00 S, 47 00 E
Madagascar had been ruled during
15 years, from 1976 to 1991, by a soviet style one party government. That
regime was toppled, in 1991, by antigovernment strikes and civil unrest movements;
followed by an interim period of two years (1991-1993). President Albert Zafy
took over in 1993. He exercised such a chaotic mandate that he lost the presidential
ballot, in 1996, in favor of Didier Ratsiraka; the same man who was in charge
during 1971-1991 period.
The mismanagement and erratic economic decisions
of the soviet style period left Madagascar's economy in complete chaos and disorganization.
Nowadays, Madagascar has to cope with glare lack of adequate infrastructure of
all kinds: transportation networks, underfunded health and education facilities.
Agriculture, including fishing and forestry, is the driving force of
the economy, accounting for 34% of GDP and contributing more than 70% to export
earnings. However, no strategic plan has been devised, under the government
which ruled after the independence, to systematically ripe to the maximum the
potential of the sector.
Industry features textile manufacturing
(transfer to Madagascar of textiles industry by Mauritius'
investors in order to counterbalance high wages / salaries in their country);
and the processing of agricultural products.
There are astounding
growth potential in meat processing; food processing; paddy production and treatment
into rice staple (before the independence, Madagascar was an exporter of rice;
now rice import represents a sizable portion of the country's total imports);
and in the fishing industry in particular.
Tourism sector is also
a dormant hard currency's reservoir. It now accounts for one fourth of earnings
originating from services; and is growing at 20% per year. The country is endowed
with superb tourist scenery (Diego Suarez's region - Antsiranana - in the north
of the country for instance) and could attract much more than the 98, 000 visitors
of year 1999. In comparison, "tiny" Mauritius
- located in the same region - had performed better by attracting more than 525,000
visitors during the same period.
Presidential ballot held during the first quarter of December 2001 ends up
in confusion after president RATSIRAKA's government released poll figures leading
to a second leg. The main opposition candidate, businessman Marc Ravalomanana,
the mayor of Antananarivo, the Capital City, contested government's proclamation
and claimed victory.
The rift reached a climax on February 22, 2002
when Marc Ravalomanana was declared the winner by a judge, who proclaimed that
he gathered 52% of the vote against 35% for Ratsiraka. Ravalomanana had been then
sworn in.
Finally on July 5, 2002 former President Didier Ratsiraka
left Madagascar. He lost the diplomatic reconnaissance battle against Marc Ravalomanana's
government, which is since that date the unique political authority in charge
of the country.
Five months after grabbing the state power Marc Ravalomanana
won a landslide victory in national parliament election held on December 15, 2002.
Marc Ravalomanana's party "J'aime Madagascar" (I Love
Madagascar) and its allies won 132 of the 160 seats in parliament.
I
Love Madagascar itself won 102 seats, an absolute majority in the National Assembly.
The 28 remaining seats being spread between the former party (ARENA) of Didier
Ratsiraka and several small parties regrouped in the National Alliance
Ravalomanana and J'aime Madagascar party have now a Dantean job ahead to reviving
the economy shattered by six months of rampant civil war. From January 2002 to
end of December 2002, the GNP growth rate had nose-dived from 5% per year to minus
12 %; and inflation is high at 12%. There is a lot of Catch
Up to be done and huge potential to exporting infrastructure equipment
for utilities and agribusiness.
For the latest on the evolution of
the political situation in Madagascar you may visit following
link.
Exports:
US$ 600 million
(f.o.b., 1998); 700 million f.o.b. (2002) Commodities:
coffee 45%, vanilla
20%, cloves, shellfish, sugar, petroleum products Exports
- partners: France 34%, US 24.6%, Netherlands 6%, Germany 5.9%, Mauritius
4% (2002)
Imports:
US$ 881 million (f.o.b., 1998); 985 million f.o.b. (2002 ) Commodities:
intermediate manufactures
30%, capital goods 28%, petroleum 15%, consumer goods 14%, food 13% Imports
- partners: France 17.2%, Iran 11%, Mauritius 10.6%, Bahrain 9.4%,
Hong Kong 6.9%, South Africa 5.9%, China 4.1% (2002)
A passport and visa are required. Visas should be obtained in advance, although
airport visas are available in Antananarivo, the capital. Travelers who opt
to obtain an airport visa should expect delays upon arrival.
There is
an airport departure tax. Travelers may obtain the latest information and details
from the the nearest Malagasy Embassy or Consulate or from the Ministry of tourism
below listed.
USA
Embassy of Madagascar
2374 Massachusetts Avenue, NW Washington, DC 20008 Tel:
+(1) 202 2655525 / 6 Fax: +(1) 202 4837603
E-mail: Click
here Website URL: Click
here
England
Consulate of Madagascar
16 Lanark Mansions, Pennard Road London, W12 8DT Tel:
+(44) 181 7460133 Fax: +(44) 181 7460134
Ministry of Tourism BP 610, Tsimbazaza, 101
Antananarivo Tel: +(261) 2022 26298 Fax:
+(261) 2022 26710
AIR-LINKING
/ TRANSSHIPPING
Many international air carriers, together with the national flag carrier - Air-Madagascar
- service Antananarivo: the capital city: Air-France, South African Airways etc.
There are plenty of connections to reaching neighboring countries by air transport.
Railways: total: 883 km narrow gauge: 883 km 1.000-m gauge (1994)
Ports and harbors: Antsiranana, Antsohimbondrona, Mahajanga, Toamasina, Toliara
Madagascar merchant marine: 13 ships (1,000 GRT or over) totaling 24,819
GRT/34,173 DWT ships by type: cargo 7, chemical tanker 1, liquefied gas 1, petroleum
tanker 2, roll-on/roll-off 2 (1999 est.) Airports: 133 (1999 est.)
INVESTOR
CONTACTS
International
Chamber of Commerce
Box 258 101 Antananarivo Tel: +( 261) 20 22211
Fax: +(261) 20 22213
Funds
For the Promotion of Private Business
Fonds d'Appui au Secteur Privé (FASP) BP 8694 Antananarivo 101
Tel: +(261) 22 64355 Fax:
+(261) 22 64354
Privatization
Agency Tel:
+(261) 20 22666 /67 Fax: +(261) 20 22601
Website URL: Click
here E-Mail: Click
here
ACCOMMODATION
Many areas in Madagascar
are geared for international visitors and the bigger towns like Antananarivo,
Toamasina and Nossi Bé have Western standard hotels.
To avoid additional
rate charges, it is recommended that all foreign currency (travelers' checks and
cash) be brought in US Dollars and French Francs. It can be exchanged at various
banks and bureaux de change (hotels will not give the best rates available).
Credit cards are not readily accepted outside the bigger towns and only the
bigger hotels accept them.
The import and export of foreign currency
is unlimited, but must be declared on arrival. Travelers' must also prove that
they spent at least FFR 2000 while in the country. Only Mg FR 2000 can be
imported while the export of local currency is not allowed. FOR
CURRENCY EQUIVALENCE
CLICK HERE