The International Finance Corporation (IFC), the private sector arm of the World Bank Group, has signed an advisory mandate with the government of Madagascar to address the country’s growing energy needs through implementation of a series of independent power projects.
IFC is already working with the government on two mandates for the structuring and implementation of public-private partnerships for a container terminal at the port of Toamasina and 12 airports around the country.
IFC will advise on structuring and implementing the power projects through a fair, transparent, and competitive bidding process. Electricity outages are prevalent in Madagascar and severely constrain the country’s economic potential. The outages are a significant deterrent to investment in energy-intensive processing industries.
“Successful implementation of these projects will encourage private sector investment in Madagascar,” says IFC regional director Richard Ranken. “We are pleased to support the country’s power sector reform and development agenda with IFC’s global infrastructure experience and commitment to achieving high standards and social benefits.”
IFC’s Advisory Services director Bernard Sheahan adds: “By bringing in private sector participation, we will help put in place a solution to a very challenging situation. This will ensure substantial improvements in the quality and delivery of power in the country, benefiting the growing industrial sector and the Malagasy population at large.”