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Uk-Madagascar Trade & Investment Forum 2015 UK-MADAGASCAR TRADE & INVESTMENT FORUM 2015 The conference is supported by Media Partners Contents 02 FOREWORDS 04 ECONOMIC OVERVIEW 09 ECONOMIC INDICATORS 12 PROGRAMME 13 OUR PARTNERS 16 MAP Publisher: Chris Gerrard Art Director: Steven Jones Conference Team: Rebecca Isaacs, Chris Hindle, Jamie Brunsdon, Natalia Debczak-Debski, James McKay, James Martin, Premal Vadgama Conference Directors: Atam Sandhu, Leon Isaacs, Roger Martin, Henry Bellingham, Peter Hain Correspondence Developing Markets Associates Ltd (DMA), 150 Tooley Street, London, SE1 2TU email: [email protected] | web: www.developingmarkets.com | www.sendmoneypacific.org | www.sendmoneyasia.org DMA acknowledges the assistance of all the individuals and organisations who have contributed to this publication. The views expressed herein are the opinions of the authors, and do not necessarily represent the Government of Madagascar, Embassy of Madagascar or DMA. All rights reserved. No part of this publication may be reproduced or transmitted in any form without the written permission of the publisher. Published by Developing Markets Associates Ltd (DMA) Printed by Woodrow Press Picture credits: istockphoto.com © Developing Markets Associates Ltd UK-MADAGASCAR TRADE & INVESTMENT FORUM 2015 01 Foreword BY HE PRESIDENT RAJAONARIMAMPIANINA PRESIDENT OF THE REPUBLIC OF MADAGASCAR FOREWORDS T IS WITH GREAT PLEASURE THAT I WELCOME YOU My government is to the first UK-Madagascar Trade & Investment Forum. committed to creating I am pleased and proud to visit London and be among the most conducive you today because firstly, I am here to continue and environment for strengthenI the two-century long historical relationship business. We have between Madagascar and the United Kingdom. Secondly, it is a worked on a set of great opportunity for myself and my governmental delegation economic and structural to discuss and explore with British investors the many policies to reinforce investment and business opportunities that Madagascar has to the progress already offer, not just in one or two areas, but across many sectors, made. Our policies are for our mutual benefit. geared at maintaining macroeconomic stability Madagascar has emerged from a political crisis. Since my election and enhancing fiscal sustainability. We have undertaken a series to the Presidency of the Republic in 2014, I have worked tirelessly of reforms to improve governance and the business climate to restore constitutional order. I have always emphasised fighting and enhanced social development policies are reflected in the against poverty, improving good governance and the rule of law, National Development Programme. And we will continue to tackling corruption, and promoting a better investment climate improve it by exploring innovative business models. We are among my priorities. We are on the path to institutional and working on a new petroleum and mining code. On the agenda political stability and the time has now come to support this of the next session of the National Assembly is a new bill on progress with economic recovery. the framework for public private partnerships. I’m sure you’ll be attentive to this. ‘Madagascar, a modern and a prosperous nation’ – such is our vision for our country and we wish to associate the United The members of the government present here today will be your Kingdom in realising this vision. interlocutors and they will provide you with any information you might need. They are here at your disposal. Madagascar has the potential to grow rapidly. It is endowed with abundant natural resources: millions of hectares of arable As I said earlier in this introduction, our two countries have a two- land and microclimates that allow a wide variety of farming, century long and excellent historical relationship bound by our an Exclusive Economic Zone in the sea which is larger than the treasured past histories. We have today an historic opportunity land area, 5,000 kilometers of coastline with pristine beaches, to make the relationship between our two countries a defining an exceptional and rich biodiversity with numerous endemic partnership of the century ahead, placed under the sign of plants and animals which makes it a haven for ecotourism. economic cooperation in a pragmatic ‘win-win’ approach. In addition, Madagascar has commercially significant reserves This is the partnership I’ve come here to build. We warmly invite of several minerals, including rare earths, uranium, coal, you to explore the opportunities today and look forward to chromite, graphite, mica, as well as gold and other precious and fruitful partnerships in the future. semi-precious stones. The existence of oil and gas has also been confirmed. I would like to express my sincere gratitude to DMA for making this forum possible. My government and the Malagasy people As for its human capital, Madagascar has a young and welcome you to Madagascar. vibrant population. See you soon in Madagascar! Thank you for your attention and The future of our country and our population depends on how have a good forum. we exploit this natural wealth. It is my firm belief that, with your know-how and your experience of the markets, your investment on one hand, the natural capital of Madagascar, the ingenuity and generosity of its human resources and our political will on the other hand, we can realise our vision together. It will be an example of inclusive, sustainable development with the greatest HE President Rajaonarimampianina respect for the environment. President of the Republic of Madagascar 02 UK-MADAGASCAR TRADE & INVESTMENT FORUM 2015 Foreword BY ATAM SANDHU, CEO DMA T IS MY GREAT PLEASURE TO WELCOME YOU ALL TO At the heart of the new this the first UK-Madagascar Trade & Investment Forum, dynamic in Madagascar taking place in the suitably opulent and historic setting is the government’s of Lancaster House – in the heart of St James’s, London. National Development I Programme, which Now managed by the UK Foreign & Commonwealth Office, prioritises improved Lancaster House was once the finest privately owned town house governance, the in all of London. Enviously described by Queen Victoria as being development and more a palace than a house, it was a central hub of social and modernisation of national political life throughout the 19th Century, when the British Empire infrastructure; broadened was at its peak. Many notable events have taken place here. In May access to social services 1848, for example, Chopin performed here for Queen Victoria. In and increased private a letter to his family, the composer describes the building (then investment in key sectors, including extractives, tourism, agriculture Stafford House) as being finer than any royal castle or palace and infrastructure. We will hear more about these sectors – and he had yet seen. During more modern times, in 1979, Lancaster others – throughout the course of today’s programme. House was the setting for the Lancaster House Agreement, which granted Zimbabwe (then Rhodesia) independence from Underpinning development is the fact that Madagascar, the world’s the United Kingdom. Many key Commonwealth meetings have fourth largest Island, boasts huge potential for mining, agribusiness, also taken place here over the decades. So, we find ourselves tourism, manufacturing (textiles/apparel), hydrocarbons and in auspicious surroundings, which I trust will provide a fitting renewable energy production. Space exists for strategic investors backdrop to lively and productive discussions today. to participate in long-term projects. Rich natural endowments offer scope for wealth creation from diverse economic activities. I would personally like to extend a very warm welcome to the Government of Madagascar delegation, led by HE President The extractives sector is already being rapidly transformed from Hery Rajaonarimampianina, and including many of his key its historically artisanal base into a large-scale mining industry. ministers and officials. Today we will be hearing from the Minister Madagascar is now entering an era of significant natural resource of Economy and Planning, the Governor of the Central Bank, extraction, which will generate high income and growth the General Manager for the Economic Development Board, potential. The mining sector’s contribution to GDP is expected the Minister of Energy & Hydrocarbons, the Minister of Mining, to surge from less than 1% to 15% in the coming decade, whilst the Minister of Industry & Private Sector Development, exported production is forecast to contribute between 30% and the Minister of State in Charge of Infrastructure & Territorial 60% of national export earnings and 18% of the government’s Planning, the Minister of Tourism, Transport and Meteorology fiscal revenues by 2018. These interests must be balanced with – amongst many other distinguished delegates. From the UK- protecting Madagascar’s natural beauty and diversity, which are side, we have the much-welcomed participation of the British amongst its greatest natural assets. Ambassador to Madagascar and the UK Minister for Africa. The seniority of those in attendance today from both public Internationally, most people may be most familiar with and private sectors is a testament to the fact that this meeting Madagascar as an ecological hotspot – a place indeed where is Madagascar’s most significant investment outreach campaign a high percentage of the wildlife is to be found nowhere else on the international stage to date. I am certain that today’s on earth. In terms of biodiversity and uniqueness, it is perhaps proceedings will not only succinctly present the government’s one of the emerging ecotourism sector’s premier destinations investment agenda but also provide a unique opportunity for internationally. New forms of sustainable tourism that encourage the business leaders and investors amongst you to engage with investment into and the protection of the ecological resources ministers and other senior government officials directly, in an on which they are founded is certainly a hot topic – and environment geared towards getting business done. We hope perhaps nowhere more so than in Madagascar, where human you find the forum a productive one.
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