MCC CEO DANILOVICH VISITS MADAGASCAR

UNCLAS SECTION 01 OF 02 ANTANANARIVO 000116 SIPDIS SIPDIS DEPT FOR AF/E AND AF/FO PARIS FOR AFRICA WATCHER MCC FOR CEO DANILOVICH E.O. 12958: N/A TAGS: EAID KMCA ECON PGOV PREL MA SUBJECT: MCC CEO DANILOVICH VISITS MADAGASCAR ANTANANARI 00000116 001.2 OF 002 ¶1. SUMMARY: MCC CEO Ambassador John J. Danilovich, accompanied by Catholic Relief Services President and MCC Board Member Kenneth Hackett assessed progress under Madagascar's Compact January 31 to February 2. President Ravalomanana committed to take immediate steps for the remediation needed on Madagascar's indicators, and eagerly requested an update on the prospects for a second compact. On a trip to view MCC work in the field, Ambassador Danilovich participated in a ceremony to deliver land certificates, training certificates, loan approval letters from the BOA (Bank Of Africa), met local officials and farmers, and planted geraniums. END SUMMARY ¶2. Visiting Millennium Challenge Corporation (MCC) CEO Danilovich held a cordial meeting with President Marc Ravalomanana February 2 to review progress and next steps in Madagascar's Millennium Challenge Compact. Commenting on his trip down to the Vakinakaratra Region to see MCC work first-hand, Ambassador Danilovich lauded the commitment to the program ranging from leaders such as MCA Director General Emma Ralijohn down to the individual members of farmer cooperatives. ¶3. The President emphasized the MCA Compact is an integral piece of his Madagascar Action Plan (MAP) to promote rural development. Noting success to date, he quickly and eagerly turned to the subject of Madagascar's eligibility for a second compact. Ambassador Danilovich said the needed legislative changes would be a priority in the upcoming February 14 MCC Board Meeting and in appointments on Capitol Hill. Director Ralejaona said consultations in Madagascar were complete for the phase two proposal, and feasibility studies were underway. ¶4. President Ravalomanana preempted Ambassador Danilovich to raise the two key areas of remediation needed for Madagascar's eligibility for MCC: immunization and girl's school enrollment. Clearly well-briefed on these issues, and acknowledging Ambassador McGee's January 12 call on the topic, the President confirmed that immediate steps would be taken to improve Madagascar's performance on these indicators. He accepted the point that MCC eligibility was demanding, while also calling for some flexibility. The President, ever impatient, emphasized his need to move fast and encouraged MCC to streamline its procedures. MCC Site Visits -------------- ¶5. Two days in the field provided Ambassador Danilovich with a close-up view of compact implementation in Madagascar. He visited a land registry office where he was shown the MCA-funded improvements that had been made in recording and storing documentation of ownership. He visited the office of the Agricultural Business Center (ABC) in Antsirabe, where he was shown how farmers are provided information that improves their production, allows them to diversify their crops, and assists them in finding appropriate markets for their surplus. In Ambatofinandrahana he visited an exhibit of MCA activities and then was guest of honor at a ceremony to hand out newly issued land certificates, loan approval letters as well as training certificates for 21 farmers' cooperatives. In some ways the highlights of the trip were two stops along the road to visit farmers' cooperatives. In one, his hosts offered Ambassador Danilovich a live rooster to express their appreciation for the help they had received through the MCA. In another, the cooperative explained how switching from manioc cultivation to geraniums, an MCA-funded initiative, had dramatically raised their incomes. The farmers then brought Ambassador Danilovich into the field for a "hands-in-mud" demonstration of geranium planting. Press Coverage -------------- ¶6. The visit garnered extensive, and uniformly positive, media coverage over several days. This started with the advance press announcement that was covered in most major news outlets. The field trip was reported on three television stations, five local and three national radio stations, and seven newspapers. The meeting with the President and the press conference were covered by five television stations, six radio stations and nine newspapers. The most common theme highlighted was Ambassador Danilovich's satisfaction that Madagascar was showing positive results from its compact. ¶7. COMMENT: Ambassador Danilovich's visit came just before the halfway point of Madagascar's Compact, when momentum has been strong and results emerging. The shared pride of MCC success is a focal point of strong bilateral relations. Having overcome the growing pains and first-mover difficulties as the first MCC country, Madagascar both enjoys its prestige as a charter member of the program and seeks rewards for its work in the form of a Second ANTANANARI 00000116 002.2 OF 002 Compact. To date, Post assesses Madagascar's MCC experience to positively reinforce all Mission objectives and believes this development experiment shows enormous promise. END COMMENT. MCGEE