Boost for Madagascar
2005-04-19 12:16
Washington - The United States signed a groundbreaking $110m four-year aid agreement with Madagascar that is aimed at reducing poverty and stimulating economic growth.
It was the first agreement under President George W Bush's Millennium Challenge Account, a programme aimed at rewarding poor countries that pursue sound political, social and economic policies.
The agreement was witnessed by Malagasy President Marc Ravalomanana and Secretary of State Condoleezza Rice.
Rice said that under Ravalomanana's leadership, Madagascar is taking concrete action to create an environment in which aid will be effective.
Bush proposed the Millennium Challenge Account in March 2002. Commenting that Madagascar is the first country to merit it, Rice said: "This is an historical occasion because it's a day we've all been waiting for."
Negotiations are under way for four other countries eligible for MCA money: Cape Verde, Georgia, Honduras and Nicaragua.
- AP