Madagascar. The world's best kept secret.

Location

A growth-oriented stable nation poised for economic take-off, Madagascar is possibly the world's best kept secret. The Republic of Madagascar is located in the Southern Indian Ocean approximately 400km off the east coast of Africa and forms the western boundary of the Indian Ocean across Western Australia. Astride the Tropic of Capricorn, Madagascar is the Fourth largest island in the world covering 587,040 square km. The climate is sub-tropical to tropical, ideally suited to tourism, with a rainy season from December to March.

Culture

The population of Madagascar is some 17 million people with 16 ethnic groups of which the largest, the Merina, is some 6.5 million strong and inhabit the plateau area of the island. The ethnic origins of the Malagasy people are Malay/Indonesian with the first settlers arriving at about the 9th Century AD. Bringing a civilized agrarian society the Asian influence can be seen in rice cultivation with the highest per capita consumption of rice. Official languages are Malagasy, French and from early 2007, English. The Merinas are a largely conservative Christian group and hold the political power in the country.

Political situation

Politically, Madagascar has had a difficult evolution from an independent kingdom to French colony from 1890 to 1960, from a bankrupt and improverished communist state until 1990 and now a stable democracy. The old regime was ousted after democratic elections of 2001 which led to a period of civil disturbance. A Republican form of Government with a President elected on a Five year basis and with an appointed Prime Minister and a non-political professional armed forces gives Madagascar a strong stability. The last election held at the end of 2006 saw the return of President Marc Ravalomanana for a second term. The President, a self-made businessman has been successful in reducing corruption and encouraging rapid economic development.

Infrastructure

Madagascar has been commended by the World Bank and the USA for its efforts in combating corruption. Main roads are being repaved and infrastructure improved with World Bank soft loans. Antananarivo (Tana), the capital with a population of approximately 1.8 million, located inland on the plateau at 1,200m above sea levels is witnessing the beginnings of a boom. Since the first international style supermarkets and petrol stations in 2003, factories and urban redevelopment have escalated real estate prices as Tana modernizes to facilitate business development. With politics vetted by the International Monetary Fund, a modernizing revised legal system in place, development of an Economic Development Board in late 2006 to encourage investment and a development driven President, Madagascar is poised for rapid growth.

Economic Development

Mining, Tourism, Agrarian and Investment laws have been reformed; Rio Tinto in 2006 commenced the construction of a mineral snads mine with an investment of US$650 million, the largest ever investment in Madagascar, only to be outdone in 2007 by the US$2.5 billion Dynatec nickel project. Oil, uranium and other minerals offer opportunities in a geological setting originating from Southern Africa and similar to Australia. The government, recognizing the importance of Madagascar's unique environment of which over 60% is endemic, has established a system of protected parks assisted by the WWF and many international environmental NGOs. With a temperate climate, the world's third largest coral reef and untouched natural beauty, Madagascar offers a superb tourist potential.

The impediments to growth potential - lack of infrastructure and expensive, restricted electricity supply - have been recognized. the impediments to investment - a high tax regime, lack of adequate financial support and land ownership restrictions - need to be addressed.

MEDP

It is to support the economic development of Madagascar with the provision of first class international standard facilities in business and recreational sectors that Madagascar Estates Development Partners (MEDP) has been established.

Subsidiary Malagasy companies, Assist SA and Nosy Saba SA represent the substantial MEDP investment in achieving its objectives and form the first stage of MEDP's intention to become the prime quality developer of properties to showpiece Madagascar as a new dynamic growth area in the world.

Operating from its offices in it's newly opened international 'Assist' office building, the dynamic MEDP team is currently constructing an Eco-resort with golf course and villa development on its beautiful 128 hectare Saba island off the north west coast of Madagascar. Other quality developments are under consideration to highlight the true potential of the world's best kept secret - Madagascar!