Madagascar is set to improve climate resilience, upgrade urban infrastructure, and create thousands of jobs through a new $225 million financing programme approved by the World Bank Group.
The Integrated Urban Development and Resilience Project for Jobs, known as PRODUIRE2, will support development in Greater Antananarivo and Greater Toamasina by improving flood protection, housing, public services, land management, and economic opportunities.
Madagascar’s rapidly expanding cities face increasing challenges from climate change, population growth, and infrastructure gaps. In early 2026, cyclones Fytia and Gezani caused damage estimated at 3.4 percent of the country’s gross domestic product, highlighting the urgent need for stronger urban resilience.
In Greater Antananarivo, recurring flooding, poor drainage systems, inadequate waste management, and insecure land ownership have affected economic growth and limited opportunities for vulnerable communities. The city, despite contributing significantly to the national economy, has experienced a sharp rise in extreme urban poverty over the past decade.
The PRODUIRE2 project will build on previous urban resilience efforts by investing in flood protection systems, drainage improvements, solid waste management, neighbourhood upgrades, and digital land administration services. These measures aim to create safer communities and support long-term economic development.
In Greater Toamasina, where Cyclone Gezani damaged around 70 percent of housing, the project will focus on rebuilding stronger homes and restoring essential public infrastructure, including schools and healthcare facilities. The University of Barikadimy, which was heavily affected by the cyclone, will also be reconstructed to improved standards.
By 2032, the project aims to provide climate-resilient infrastructure for approximately 1.5 million people, rebuild 20,000 homes to stronger standards, issue land documentation for 50,000 parcels, and generate about 17,000 jobs.
A key part of the initiative is improving land security. Many properties in Antananarivo lack formal documentation, creating barriers for residents and businesses seeking investment opportunities. The project will support land regularisation and digital services to help people obtain recognised land rights. At least 40 percent of newly issued land documents are expected to include women as sole or joint rights holders.
The programme will also support job creation and local businesses by improving urban conditions that encourage private investment. Better infrastructure, stronger climate protection, and improved access to land services are expected to help communities become more economically secure.
Supported by the Global Facility for Disaster Reduction and Recovery and the Quality Infrastructure Investment Partnership financed by Japan, PRODUIRE2 will provide technical assistance to strengthen disaster risk management and improve infrastructure quality.
The investment represents a long-term partnership between the Government of Madagascar and the World Bank Group to help Antananarivo and Toamasina become more resilient, inclusive, and sustainable centres of economic growth.
