Announcement of Madagascar: World Bank Supports Irrigation and Watershed Management Project with US30 Million Dollars Credit on November 14, 2006

Madagascar: World Bank Supports Irrigation and Watershed Management Project with US$30 Million Credit Contacts: In Washington: John Donaldson (202) 473 1367 jdonaldson@worldbank.org; In Madagascar: Jocelyn Rafidinarivo (261-20) 225 6000 jrafidinarivo@worldbank.org Washington, November 14, 2006 – The World Bank Board of Executive Directors today approved an International Development Association (IDA) credit* of US$30 million to establish a viable basis for irrigated agriculture and natural resources management in four main irrigation sites and their surrounding watersheds. The Irrigation and Watershed Management project approved today is the first phase (FY07-FY11) of a three-phase, 12 year Adaptable Program Lending APL (FY07-FY19) which will provide the Government of Madagascar with the necessary flexibility to implement the program in accordance with preferences and capacities of users. The project is part of a Government initiated National Irrigation and Watershed Management Program. In addition to IDA, the program is supported by a number of donors, including the African Development Bank (AfDB), the French Development Agency (AFD) and the Food and Agriculture Organization (FAO). Others are considering support, including the Global Environment Facility (GEF). A proposal to that effect will be discussed soon. The project will be implemented through four components: Development of Commercial Agriculture, Irrigation Development, Watershed Development and Program Management. It will also lay out adequate foundations for scaling up the project’s activities on the basis of lessons learned from earlier phases. “With its four components, the project will support the Government of Madagascar in its objective of unleashing the potential of its important but underexploited hydraulic assets in a holistic way. In so doing, irrigated agriculture is expected to contribute to the revitalization of rural areas, to economic growth and to a real reduction of poverty” said IJsbrand de Jong, the World Bank Task Team Leader for the project. “The Bank has established a constant dialogue with the Government and partners over the last three years”, said James Bond, Acting Country Manager for Madagascar, “and is therefore happy to help for an integrated effort to improve the agriculture productivity and to create high value added products. The project will help develop the watersheds through a conservation friendly agriculture.” ### For more information on the World Bank’s work in sub-Saharan Africa visit: http://www.worldbank.org/afr For more information on the World Bank’s work in Madagascar visit: www.worldbank.org/mg For more information about this project visit the project website. *The credit is provided on standard International Development Association (IDA) terms, with a commitment fee of 0.35 percent, a service charge of 0.75 percent over a 40 year period of maturity which includes a 10-year grace period.