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Madagascar: From political crisis to economic decline?

Noro Andriamihaja's picture

Following weeks of political turmoil, President Marc Ravalomanana resigned on March 17, 2009. The leader of the opposition, Andry Rajoelina, ex-Mayor of Antananarivo, became “President of the Transition Authority” with the support of the army. The transition – increasingly being referred to as a coup by the international community – marks the culmination of a pitched power struggle that began in mid-January 2009, has put development on hold, and taken over 150 lives. Political uncertainty is nonetheless likely to remain until a clear consensus on the way forward emerges among the political forces in the country – and its subsequent recognition by the international community.

The impact of this crisis is difficult to predict, more so that Madagascar is also being affected by the global financial turmoil. Preliminary estimates indicate that the GDP growth rate is likely to be negative in 2009 -- down from a pre-crisis projection of 7.5%, through the combination of two forces: (i) the slowdown of private activities in the industrial and service sectors, and (ii) fiscal adjustment of public spending. The details are provided here.

Comments

We can't deny the fact that almost all country is suffering from the economic crisis that the world is facing now. A lot of businesses and companies have been affected by this economic downturn. In fact, many big companies in US are closing because of the financial crisis. We are now in the fast pacing world where advances in technology is noted. Because of that, we forget to slow down a bit. The author, philosopher, historian, and mathematician Bertrand Russell once wrote an essay called In Praise of Idleness, and we often forget the simple pleasure of writing a poem or doing crosswords in the paper, or reading someone's memoirs, if it's interesting enough. (The recollections of a business software engineer wouldn't count – boring!) In modern life, we too often are caught up in work or whether or not to get an online payday loan, and forget to take time to do nothing.

Submitted by brindes on
This is a very difficult situation, not only for Madagascar, but for almost all the countries in the world. Here in Brazil, our president said that the economic crisis would not have the same impact in our country, but I think that Brazil will be affected a lot to.

Submitted by Memory on
All countrys need new alternatives than put the well-being of people and the planet at their centre. For this, democratic control over financial and economic institutions are required.

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