GTZ has been working in Madagascar on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ) since 1982.

Despite a wealth of natural resources and development potential in agriculture, tourism and mining, Madagascar is one of the world’s poorest countries. High poverty levels in rural areas, low agricultural productivity and a rapidly growing population all negatively impact on natural resources. Biologically unique forests are being sacrificed to meet the rising need for new pastureland and fuel wood. Bushfires and illegal logging further exacerbate the loss of forest areas. Traditional agricultural methods cause soil to erode and soil quality to decline. The basis of survival for both Madagascar’s people and its unique wildlife is under serious threat.

Particularly in rural areas, the limited availability of electricity supplies is severely hindering Madagascar's economic and social development. 

HIV/AIDS presents a further problem. The infection rate in Madagascar is still low but is threatening to rise, as a lack of awareness and prostitution are leading to a higher rate of new infections that also affects rural regions.

As agreed in inter-governmental talks, GTZ’s work focuses on environmental policy and the protection and sustainable use of natural resources.

Further, GTZ supports the Rural Development and Electrification Agency and municipal authorities, private operators and investors, in planning and implementing projects that promote rural electrification using renewable energy sources.

A further focus of GTZ's work is promoting decentralisation through providing advice at national level, and supporting communities in drafting and implementing development plans. Furthermore, the GTZ is active in the cross-cutting fields of good governance/public finance reform and the fight against HIV/AIDS.

As the change of government that took place in Madagascar in March 2009 was not in keeping with democratic principles, GTZ has suspended its project activities at ministerial level.