Madagascar faces rapidly escalating climate risks with the potential to reduce GDP by up to 6% and push approximately 1.7 million people into poverty by 2050, threatening development gains across transport, urban systems, energy, agriculture, water, and coastal livelihoods.

The Madagascar: Adaptation Investment Pipeline and Financing  Instruments report presents a forward-looking Adaptation Investment Pipeline for the country, identifying priority investments required to safeguard economic stability and protect vulnerable populations. It highlights transport as the backbone of the economy, highly exposed urban systems concentrated in a small number of cities, and critical needs in agriculture, water, energy, health, and the blue economy. Building on Madagascar’s strong policy foundations (NAP, NDC, PANEDD), the analysis translates climate risk into a structured investment agenda focused on integrating resilience into development planning, scaling climate-resilient infrastructure, and strengthening governance and preparedness systems. The report provides an evidence-based roadmap for mobilizing adaptation finance at scale and aligning investments with the country’s long-term development trajectory.

This work has been developed under the African Adaptation Acceleration Program (AAAP) as part of GCA’s technical support to the implementation of the IMF Resilience and Sustainability Facility (RSF), under the leadership of and in close coordination with the Government of Madagascar, to inform the upcoming National Climate Finance Strategy. The analysis benefited from collaboration with the World Bank and UNICEF teams in Madagascar, as well as valuable inputs and insights from the Government of Madagascar.