Trade Policy Review 2015: Madagascar

Since 2002, Madagascars economy has recorded sustained real growth at an annual average rate of 6.2 per cent, attributed in particular to trade liberalization reforms, and boosted primarily by the expansion of industrial activities, construction, financial services, telecommunications and transport, according to a WTO Secretariat report on the trade policies and practices of Madagascar. This performance would improve with a more transparent, credible and predictable trade regime that can be achieved by stronger multilateral commitments by Madagascar through extension of its tariff bindings to more non-agricultural products, lower bound rates and stronger GATS commitments. A reform of the taxation system, to respect the principle of national treatment, would add consistency to Madagascars trade regime. Such an improved climate would help Madagascar to attract the capital needed to exploit its vast potential.