Madagascar Airlines has secured an additional USD 40 million from the World Bank to support its “Phenix 2030” turnaround plan, part of a USD 65 million financing package.
Stronger Financial Backing for “Phenix 2030”
Madagascar Airlines has received renewed international confidence as the World Bank confirmed a second tranche of USD 40 million in financing to support the carrier’s ongoing “Phenix 2030” turnaround plan. This additional funding is part of a USD 65 million package, with the first USD 25 million released in September 2024 through the World Bank’s Economic Transformation for Inclusive Growth Project (PIC3).
The “Phenix 2030” plan aims to modernise Madagascar’s national airline, ensure operational sustainability, and strengthen domestic and international connectivity. The World Bank’s continued support signals approval of the progress made so far in restructuring, governance reform, and financial transparency.
The Malagasy Government has reaffirmed its full backing for Madagascar Airlines and is working to finalise the remaining 20% of conditions required to unlock the latest tranche, which are expected to be completed by the end of November.
Signs of Financial Recovery
Madagascar Airlines is projecting a positive operating result for the current fiscal year, a milestone achievement and the first in many years for the national carrier. This marks a major step toward financial recovery following a prolonged period of instability and restructuring.
In line with its financial strengthening strategy, the company plans to consolidate its existing state-owned debts into share capital, improving its balance sheet and long-term sustainability. This measure is expected to enhance investor confidence while allowing the airline to reinvest in operations and service quality.
Backed by both the Malagasy State and the World Bank, the progress of “Phenix 2030” reflects a broader ambition to rebuild a modern, competitive, and resilient national airline that proudly represents Madagascar on the global stage.
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