Madagascar - Economic Management Reform Support Programme

The PARGE is a support to the Republic of Madagascar for economic recovery and the implementation of its national strategy. This operation aims to consolidate previous budgetary support achievements and programmes and also to contribute to addressing the factors of fragility linked to: (i) growing poverty; (ii) poor management of public resources; (iii) low private investment and a deteriorating business climate; and (iv) rising unemployment and underemployment, especially among youth and women. The PARGE is structured around two complementary components: (i) Broadening the fiscal space to better support economic growth; and (ii) Promoting economic recovery through investments that create jobs and reduce socio-economic inequalities. Its implementation will have a distributive and sustainable impact, allowing the State to have the necessary budgetary space to improve the provision of essential social services, including education and health, and to better promote public and private investment.