Madagascar has secured US$200 million in financing from the World Bank to modernise its transport infrastructure, in a bid to improve connectivity, reduce logistics bottlenecks and support economic growth across the island nation.
The funding will support the “Madagascar Multimodal Transport and Logistics Project,” targeting upgrades across rail, ports and airports to strengthen key economic corridors and improve the movement of goods and people.
The World Bank said the project will benefit an estimated 3.8 million people by improving access to markets, reducing transport costs and easing congestion in critical trade routes.
A central component of the programme is the rehabilitation of the 371-kilometre railway linking the capital, Antananarivo, to the country’s eastern seaboard and main port. The line is a vital artery for freight transport but has suffered from years of underinvestment and deterioration.
The project also includes the construction of a rail-road dry port and logistics platform near the capital to streamline cargo handling and reduce congestion at seaports.
In the maritime sector, upgrades are planned for ports in the northwest and southwest, including improvements to docks, access roads and supporting infrastructure to enhance efficiency and safety.
The aviation component will focus on upgrading regional airports, with investments aimed at improving safety standards and strengthening resilience to climate-related risks. These upgrades are expected to support domestic connectivity and regional access, particularly in remote areas.
Officials say the project reflects the government’s focus on addressing long-standing infrastructure gaps that have constrained economic development in Madagascar.
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“Improving transport is a national priority. Weak connectivity remains a major constraint to jobs and economic growth,” Finance Minister Hery Ramiarison said, adding that the project would help reduce isolation and strengthen social cohesion.
Transport infrastructure plays a crucial role in Madagascar’s economy, underpinning trade, agriculture, tourism and export industries. However, the country’s network remains among the least developed globally, with many roads unpaved and vulnerable to damage.
Repeated cyclones and extreme weather events have further weakened transport systems, disrupting supply chains and increasing costs for businesses and households.
The World Bank said the new investment would prioritise climate-resilient infrastructure to ensure that key transport links can withstand future shocks.
Analysts say improving logistics is essential for Madagascar to unlock its economic potential, particularly in agriculture and mining, where high transport costs have limited competitiveness.
The project is also expected to facilitate regional trade by improving connections between production zones and export hubs.
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Despite the funding boost, experts caution that sustained investment and effective implementation will be critical to achieving long-term improvements.
If successful, the initiative could mark a significant step toward modernising Madagascar’s infrastructure and supporting more inclusive economic growth across the country.
