Antananarivo is looking for resource deals with Asian financiers to raise cash for an election campaign for interim leader Andry Rajoelina
The transitional regime led by
Andry Rajoelina is threatening to cancel oil exploration licences held by Western investors and hand them to the Hong Kong-based China International Fund. Rajoelina, who seized power with army support in March 2009, needs money to fight presidential elections due in mid-year, which are shaping up to be a bitter confrontation with desposed President
Marc Ravalomanana and several other candidates.
Refusing to recognise Rajoelina’s legitimacy after the putsch that brought him to power, the Southern African Development Community, the African Union and the European Union are demanding strict conditions for a return to constitional rule in Madgascar. However, Rajoelina has been able to build up a strong local political support base and win finance on natural resource deals from Indian, Chinese and Pakistani companies (see box).The immediate targets for the Rajoelina regime are the four licences held by London-listed Madagascar Oil, whose operations at the Tsimororo oil field are now subject to a state audit. If the audits find that Madagascar Oil has breached local regulations, the state will press its claims to buy back the licences.
A rowdy colonel in detention is lambasting Andry Rajoelina’s Haute autorité de la transition (HAT) for its reliance on opaque deals with Asian companies. Colonel Charles Andrianaso...
President Condé called off mining contract reviews but will move to take a one-third share of all mining projects
Mining investors are bracing for a long battle. On 24 January, new President Alpha Condé backtracked on promises to review mining contracts, saying that the government would instea...
