In Madagascar, the national electricity and water company, Jirama, has announced that it has paid 75% of its accumulated debts to its suppliers.
“It is the accumulated debts that have been paid. Current debts will be paid when due. So we still have to resolve the remaining 25% of debt , ” said Solo Andiamanampisoa, chairman of the company’s board of directors.
According to the official, the financial recovery of Jirama, undertaken by the government has a good chance of succeeding before 2021. The company can count, to get there, on the support of the Ministry of Economy and Finance which assistance in the recovery of debts not paid by the agencies and entities attached to the State. A compensation mechanism has also been set up to do this.
Source: Agence Ecofin