Banks: we (unfortunately) still only lend to the rich

Huh? In Madagascar, bank loan interest rates have been quietly subjected to VAT… at 20%, starting July 1, 2025.

A measure that essentially means a lot of things. The first is that the Malagasy government needs money.

A lot of money

The coffers are empty, so what better and faster way than to increase taxes at every turn? Io izy io.

Second effect: credit, already difficult to obtain in Madagascar, will become downright impossible to obtain. Well, with Tom Crise at the helm, you might say…

Third observation: a few weeks ago, I noted the discreet increase in the Central Bank’s key rate to 12%. This is yet another signal to make money expensive, very expensive.

Money hard to come by

Inflation that keeps galloping. A desperate state

… I don’t know about you, but good luck to those who still dare to earn money today! Pro max HD 4K taxation guaranteed 🤣

As for the plebs, good luck also surviving in these conditions.

An economic machine that will increasingly seize up, fewer jobs and even massive layoffs (sa ahoana la Jirama? But not only that), a cost of living that will literally explode

…. in short, the party is far from over tompokolahy sy tompokovavy.

An imaginary growth rate

And I still don’t know where you’re going to get your 4 or 5% growth this year, but in these apocalyptic conditions, no, I don’t think it’s going to be possible 🤣

A dying Jirama, businesses at each other’s throats, a largely negative trade balance, a monkey currency that’s no longer worth much… more like -5% growth this year, right?

They proudly talk about 1,500 jobs with these new buses. Well, yes, that’s nice, but in reality, how many job openings do we really need in this country? 1 million? 5 million? More?

So, the business and the informal sector still have a bright future ahead of them. Who would still want to pay taxes for this failed state where nothing works anymore?

And who, on top of that, persists and signs up to pointless projects, just for the bling bling, you see?

A country definitively doomed?

Well, sorry, but once again, it seems that Madagougou is well on its way to being definitively doomed?

Because even if His Lordship leaves by 2028, can you imagine the level we’ll be starting from then?

I usually say the basement, but no… the 5th basement would be more appropriate?

Fumbling and risky experiments since 2009, and what was bound to happen has happened: the failed state, quite simply.

A country completely adrift and 32 million babakoto who are sinking with it. Or die in 10 different (and violent) ways by then.

Nandresy ny tolona tompokolahy sy tompokovavy. Mihinana ny IEM tsara daholo tenisany.