Country edging closer to debt relief - IMF

Madagascar is edging closer towards large scale debt relief and is a potential candidate for the Heavily Indebted Poor Countries (HPIC) initiative, the International Monetary Fund (IMF) was quoted as saying on Thursday. The IMF said however that Madagascar had to first complete preparatory work and make additional progress on economic reforms. In its annual review of the Madagascar economy, the IMF said it expected economic growth of 4.8 percent this year, little changed from last year’s 4.7 percent. “Directors stressed that continued progress in implementing the authorities’ medium-term programme and preparing a strategy to reduce poverty should help mobilise the needed international support...to alleviate Madagascar’s heavy debt burden,” the IMF said.