Madagascar Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in madagascar, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
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Selling to the Public Sector
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Selling to the Government

The Government of Madagascar is attempting to exert control and increase transparency over public procurement in two ways: by setting up a public procurement agency which will coordinate tenders for products from petroleum to staple goods, and by creating a one-stop electronic government procurement portal to make public procurement calls available EGP | E-Government Procurement EGP (armp.mg). Interested parties can access the portal by paying a subscription fee. Subscribers receive notifications through email or text when a call for tenders goes out. Once the contract is executed or goods and services are delivered, the government will review and rate the service provided. The government also welcomes solicitations by private sector entities to provide goods and services not yet available in Madagascar. 

However, many government procurement deals still take place outside the tendering process. In some instances, the government prioritizes local businesses. On a cautionary note, some contractors who have worked on government infrastructure projects have expressed dissatisfaction with late payments that have affected their operations.

U.S. companies bidding on government tenders may also qualify for U.S. Government advocacy. A unit of the U.S. Commerce Department’s International Trade Administration, the Advocacy Center coordinates U.S. Government interagency advocacy efforts on behalf of U.S. exporters bidding on public sector contracts with international governments and government agencies. The Advocacy Center works closely with the U.S. Commercial Service’s worldwide network and inter-agency partners to ensure that exporters of U.S. products and services have the best possible chance of winning government contracts. Advocacy assistance can take many forms but often involves the U.S. Embassy or other U.S. Government agencies expressing support for the U.S. bidders directly to the foreign government. Visit https://www.trade.gov/advocacy-foreign-government-contracts website or consult Advocacy for Foreign Government Contracts for additional information.

Financing of Projects

Madagascar is a borrower from Multilateral Development Banks (MDB). Price, payment terms, and financing can be a significant factor in winning a government contract. Many governments finance public works projects through borrowing from MDBs. The Guide to Doing Business with Multilateral Development Banks overviews how to work with MDBs. The International Trade Administration (ITA) has a Foreign Commercial Service Officer stationed at each of the five different Multilateral Development Banks (MDBs): the African Development Bank; the Asian Development Bank; the European Bank for Reconstruction and Development; the Inter-American Development Bank; and the World Bank.

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Several major projects in Madagascar are financed fully or partly by MDBs including the World Bank and the African Development Bank.

  • Examples of World Bank funded projects:
  • Examples of African Development Bank projects:
    • Madagascar - Emergency food production enhancement project, UA15 million
    • Madagascar – Additional financing for the African disaster risk financing program (ADRIFI), UA 10 million
    • Madagascar – Support project for the implementation of the African Continental Free
    • Trade Area in Madagascar