On behalf of our Malagasy authorities, we would like to thank management and staff for their continued support to the Republic of Madagascar. The authorities are highly appreciative of staff’s constructive and candid dialogue and the Fund’s continued engagement in their country. Through comprehensive technical assistance, two RCFs and an SMP, this engagement has been decisive in supporting the country’s recovery from the severe shocks related to the political crisis and the cut-off of most external assistance from 2009 to 2013. Over the past two years, progress has been accelerating, building a good track record and developing the capacity to implement a strong medium term program.
With Fund staff’s close assistance, the authorities have put in place a medium term economic and financial program anchored on their National Development Plan (NDP). The program aims at strengthening macroeconomic stability, developing the economy’s potential, enhancing its resilience to shocks, and addressing the deep-seated poverty issues. In support of their program, our Malagasy authorities are requesting Fund’s assistance in the form of an arrangement under the Extended Credit Facility (ECF) in an amount of 180 per cent of quota, or SDR 220 million. The authorities are strongly committed to the set of measures agreed under the program. They are also in broad agreement with staff’s assessment, notably on the challenges facing the country.