A very optimistic year 2011´s budget without international support

The HAT finance minister is expecting a 3277 billions of ariary´s national budget. The extremely high figure is hinting that the HAT is expecting the recovery of international financial support in 2011. Or maybe not. Since the situation has improved a little bit better compared to that of 2009, the year 2011´s budget will be the same as that of 2010, still as so tight for the country will have to make do with what it has. Austerity will remain the ruling creed for every Malagasy but the HAT and its clique.

The ruling power equally expected to have 3000 billions at its disposal, thanks to an eluding international recognition which would have led to the recovery of foreign financial support. But the 1000 expected billions by that time failed to come. The HAT contented itself with running the engine at low rate. Investment projects remained restricted to projects likely to serve as propaganda tools for the ruling regime.

How could 3000 billions of ariary be realistically expected without foreign financial support in 2011? State returns have well become much more superior to the year 2009´s expected 1150 billions of tax returns and 950 billions of custom returns by the same period. The year 2009´s  40 percent deficit is to be filled up. Expecting 3000 billions might possibly be realistic in the end. The HAT can also stand by the large scale mining projects like Ambatovy.

The dictating regime is now allowed to expect a substantial amount of money in order to run investments. Public money would be used in priority to the completion of Andry Rajoelina´s promises pledged during the referendum related campaign. The state has to finance the construction of 10000 homes for 10 billions each. The HAT equally seems willing to finish the eternally unfinished national roads 5 and 44.

Apart from stadium and hospital projects already tackled with the 100 millions US$ paid by the Chinese corporation for the right to exploit iron in Soalala, various other social facilities are being planned, part of which 44 schools public schools.

Any return to normality is not yet scheduled on the economic growth´s tables. Madagascar was regularly enjoying a 6 percent high growth under Marc Ravalomanana. In 2011, the HAT is expecting the industrial sector´s 12 percents up to support a 2.8 percents national growth. Regarding these beautiful figures, no wonder that Andry Rajoelina already sees his own self as president.