Press Release No. IFAD/21/01

Rome, 8 August 2001 - The Prime Minister of the Republic of Madagascar, H.E. Tantely René Gabrio Andrianarivo today visited the headquarters of the International Fund for Agricultural Development (IFAD), and held discussions with the Vice-President of IFAD, Mr John Westley.

The meeting focussed on discussions to increase cooperation between the Republic of Madagascar and IFAD. Given the current level of partnership between IFAD and Madagascar, and the favourable environment for development assistance in the country, IFAD is prepared to expand its portfolio in the country significantly. The Fund is considering financing three new agricultural development projects within the next four years and in September 2001 will start the identification of the first.

To date, Madagascar has received loans for a total of approximately USD 90 Million from IFAD for nine projects, five of which are completed and four are on going.

Madagascar recently pledged a contribution of USD 80,000 to the Fifth Replenishment of IFAD's funds and payments of USD 50, 361 have already been received showing a strong testimony of the interest of the country in the activities of the Fund.

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IFAD is a specialised agency of the United Nations with the specific mandate of combating hunger and poverty in the most disadvantaged regions of the world. Since 1978 IFAD has financed 584 projects in 114 recipient countries and in the West Bank and Gaza for a total commitment of approximately USD 7.2 billion in loans and grants. Through these projects, about 250 million rural people have had a chance to move out of poverty. IFAD makes the greater part of its resources available to low-income countries on very favourable terms, with up to 40 years for repayment and including a grace period of up to ten years and a service charge of 0.75% per year.