Climate shocks: the African Development Bank donates $19.25 million to Madagascar to deal with the multiple risks of natural disasters | African Development Bank

The Board of Directors of the African Development Bank on December 5 in Abidjan approved additional funding of $19.25 million for Madagascar to help it cope with recurring climate shocks (droughts, storms, cyclones).

Additional funding for the African Disaster Risk Management Financing (ADRiFi) program in Madagascar comes from the Bank Group’s Transition Support Facility – a flexible support mechanism – providing a total of $13 million ($7.11 million as a concessional loan and $5.89 million as a grant). The ADRiFi Multi-Donor Trust Fund is providing a $4.70 million donation to help fund the sovereign insurance premium against droughts and tropical cyclones; and the Malagasy government, a $1.55 million counterpart.

This additional funding reinforces the achievements of the first phase of the ADRiFi program in Madagascar and secures public investment in regions affected by storms and tropical cyclones.

The main objective of the additional funding from the ADRiFi program is to strengthen resilience and response to climate shocks by improving natural disaster risk management and adaptation to climate change in Madagascar. This development goal is based on two pillars: strengthening the financial resilience of the state in the face of climatic hazards through risk transfer mechanisms capable of mobilizing financial resources for rapid assistance to vulnerable populations in the event of a disaster; and strengthening food security and social resilience of vulnerable populations affected by climatic hazards in the south and southeast of the country.

The money will be used, among other things, to rehabilitate 100 classrooms in 50 institutions in 4 regions of the country (Atsinanana, Atsimo Atsinanana, Vatovavy and Fitovinany) and 10 districts. It will also allow the construction of 3 multipurpose shelters in the municipalities of Antananarivo, Taomasina and Fenerive-Est, with a view to securing people and agricultural production in the event of a disaster. The funding will also enable the construction of 2 warehouses in the south (Bekily and Ambosoary districts), which will serve as a common granary for the local population, facilitating the availability of seeds in case of emergency. The funding will also make it possible to purchase and distribute food to vulnerable populations. At least 64,000 vulnerable households (270,000 people, 50% of whom are women) will receive food packages; food rations for children under the age of 5 and pregnant and breastfeeding women to restore the nutritional situation of risk areas and improve the food and nutrition situation of 14,000 households with children under the age of 5.

“The additional funding from the ADRiFi program in Madagascar is emergency support from the African Development Bank for the Government of Madagascar’s efforts to cope with storms and tropical cyclones that repeatedly and hard hit the country during hurricane seasons, causing damage that affecting almost all sectors: housing, education, healthcare, administration, road, rail, hydro-agriculture, energy infrastructure, etc. said Ms. Toda Atsuko, director of the Department of Agricultural Finance and Rural Development at the African Development Bank.

Due to its geographical location in the Indian Ocean, Madagascar is very vulnerable to climate shocks. During the recent 2021-2022 hurricane season, the country was hit hard by 6 storms and tropical cyclones within a month.

The unprecedented damage caused by the 2021-2022 hurricane season has exacerbated an already adverse socio-economic situation, particularly in the South, where the African Development Bank is actively involved in food security, disaster risk management and socio-economic infrastructure development.

Thanks to the ADRiFi program, Madagascar received about $2 million in 2020 after the severe drought that hit the south during the 2019-2020 agricultural season. In March 2022, the country received a disbursement of about $10 million after the passage of Cyclone Batsirai, which had a major impact on the regions of the Greater Southeast. Most recently, in July 2022, the country received another $797,049 additional disbursement in response to the rainfall deficit in the South during the 2021-2022 agricultural season.

“These Pan-African Risk Management Mutual (ARC) insurance payouts reinforce efforts by the government and its technical and financial partners, including the African Development Bank, to respond to the dangers of The climate in Madagascar fits the same logic with the additional funding of the ADRiFi program, as it complements the different efforts related to the magnitude of the disaster recovery needs in Madagascar,” emphasized Adam Amoumoun , responsible banking countries in the Groot Eiland.

The additional financing is in line with the bank’s country strategy in Madagascar (2022-2026), the bank’s ten-year strategy (2013-2022). In addition to the Bank’s strategy to address vulnerability and build resilience in Africa (2022-2026), the funding is also aligned with two of the Bank’s key strategic priorities, its “High 5s”, in particular “feeding the Africa” ​​and “improving the quality of life of people in Africa”.