Statement delivered by H.E. Rindra Hasimbelo Rabarinirinarison, Minister of Economy and Finance, Madagascar

Statement delivered by H.E. Rindra Hasimbelo Rabarinirinarison, Minister of Economy and Finance, Madagascar

V20 MINISTERIAL DIALOGUE X

16 April 2023

H.E. Rindra Hasimbelo RABARINIRINARISON, Minister of Economy and Finance, Madagascar

Honorable Minister of Finance and Economic Planning of Ghana,

Excellencies,

Esteemed colleagues,

Ministers,

Ladies and Gentlemen,

More than ever vulnerable developing countries need to have a common stance to address climate change issues. Those issues push our macro financial situation at risks and can undermine our development policy, our debt sustainability, and our fiscal space. 

As for Madagascar, which is one of the most vulnerable countries to climate change, we are frequently hit by tropical cyclones, floods, and intense drought in some regions mainly in the south of Madagascar. Over the last 30 years we registered more than 70 climate disasters and 6 of which are severe droughts causing severe famine and death. The impact of climate disasters caused more than 4.8% of our GDP in a year. For example, the impact of the 5 successive cyclones in 2022 is estimated eighteen hundred million dollars but we cannot afford to find enough financial means to rebuild the consequences of such a disaster. Madagascar is more than ready to join the Climate Vulnerable Forum and the Vulnerable Twenty countries’ plan by taking actions toward economic transformation and climate prosperity. 

We are willing to initiate with all of you a Climate Prosperity Plan process. At the national level, our government has already initiated the Emergency Plan of Madagascar as the National Strategy Plan to set up inclusive and sustainable development. Madagascar has also adopted a National Plan for Adaptation and a National Determined Contribution. And the estimated amount of this plan is around $21 billion, but the current amount we can afford is around $300 million dollars a year, all partners included. 

The multilateral financing system is willing to give $16 billion and $21 billion to Ukraine because they are at war, but let us know that we are also at war with the climate disaster. So, why don’t we deserve the same treatment? We have to remember that those climate disasters are the consequences of rich countries’ actions, but low-income countries like Madagascar are the victims. We think that the allocation of such a climate fund should not even have prior actions because the simple fact that the country has been damaged is already the main condition to benefit from any climate fund. 

It is unfair to ask for refunds of prior action for planet change because we are victims here. We need to set up a climate justice. This is why Madagascar requests the Resilience and Sustainability Trust Fund of the IMF and the Regional Climate Risk Fund from the World Bank. We think that more than anyone else, we deserve such a fund without any other prior action than the damages we are facing. 

Ladies and Gentlemen, esteemed colleague ministers, the uncertainty and complexity of the current global system call for agile responses and for resilience to climate risk. Let us stick together for a better world. Thank you.

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