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MADAGASCAR :The world’s best kept secret ?
Geoffrey TassinariChairman
Malagasy Private Equity Association (AMIC)www.amic.mg
UK-Madagascar Trade & Investment Forum 2015
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GROWTH POTENTIAL
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MADAGASCAR KEY FIGURES
GNPUSD 10 bn
(I : 26% II : 16 % III : 58 %)
SIZE580 000 km2
POPULATION22mm
AVERAGE ANNUAL INCOME USD 358
(157th out of 162 – WB)
GROWTH3% 2015 7% 2016
(target : 10% + in 2018)
INFLATION7%
KEY ECONOMIC SECTORS Agriculture - Mining
Tourism
BUDGETUSD 1 bn
DEBT/GDP34%
BUDGET DEFICIT/GDP : 1.6%
TAX REVENUES / GDP10%
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MADAGASCAR ASSETS / LIABILITIES
OPPORTUNITIES
• SIZE
• NATURAL RESOURCES
• PEOPLE
• WATER
CHALLENGES
• POLITICAL DISCONTINUITY
• YOUNG INSTITUTIONS
• BUSINESS PRACTICES
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MADAGASCAR FINANCIAL SYSTEM
11 BANKS
5 VC/PE INSTITUTIONS
5 INSURANCE COMPANIES
5 FINANCIAL INSTITUTIONS
31 MICRO FINANCE INSTITUTIONS
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VC/PE
USD 400 mm committed
USD 150 mm invested
138 investees
32 000 direct jobs
27 000 indirect jobs
AMIC in figures
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Venture Capital/Private Equity
(www.amic.mg)
VC/PE
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Investment criteria
People, people and people
Growth potential
Cash Flows/Profitability
Scalability Governance
Exit
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Value creation process
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VC/PE
CULTURE
To take responsibility
To communicate
To learn from mistakes
To strive to be the best at what we do
Not to rest on past successes
VALUES
Integrity
Respect
Teamwork
Accountability
STRATEGY
CAPITAL ALLOCATION
TOP LINE / COST STRUCTURE
MANAGEMENT / ORGANISATION
EXECUTION / OPERATIONS / ESG
VC/PE
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Start-up Development Transmission Turnaround
A well kept secret
But
Might not be for long ! …
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CONCLUSION
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