Madagascar Development

Les espoirs placés dans le président Hery Rajaonarimampianina, ou que les acteurs et observateurs ont voulu voir en lui après la désillusion des cinq années de transition, ont rapidement été déçus. Près d’un an après son élection, le bilan est maigre : le processus de réconciliation nationale est resté lettre morte ; l’économie malgache est confrontée à une dépréciation de l’Ariary qui menace la stabilité sociale ; aucune réforme n’a été engagée et les quelques lois adoptées ne répondent aucunement aux ambitions escomptées par les observateurs ; les élections communales ont été reportées à 2015 et avec elles, les élections régionales et provinciales, ce qui de fait bloque la mise en place de la Haute Cour de Justice (HCJ) ; la gouvernance du pays n’a aucunement été améliorée que ce soit au regard du manque de qualification patent au sein de l’exécutif, ou bien au regard des trafics qui se poursuivent à un rythme extrêmement soutenu en dépit de quelques arrestations et conda...

Puerto Rico's poor economic growth prospects are the "root cause" of the US commonwealth's credit problems, according to a new report from Standard and Poor's. Liquidity and fiscal concerns have weighed on the island's credit quality but are not the main cause of its issues. Puerto Rico has been in recession since 2006 and concerns have mounted about its ability to meet its $70bn debt burden. Manufacturing accounts for nearly half of Puerto Rico's GDP. The commonwealth's manufacturing sector has experienced softness since a tax break exempting US companies from paying taxes was phased out. David Hitchcock, an analyst at Standard & Poor's said: Puerto Rico's poor economic growth prospects remain a key factor in our speculative-grade general obligation rating on the commonwealth. Furthermore, we think the island's economy needs to grow if Puerto Rico is to manage long-term costs such as health program deficits and retirement contrib...

Three days after voters expressed their discontent with the state of the economy, the government on Friday reported strong signs of improvement, estimating that employers added 214,000 jobs in October, while the official jobless rate dropped for the second month in a row to 5.8 percent. The increase puts the average monthly employment gain for the past six months at 235,000 — an indication, analysts said, that the economy’s progress after years of meager growth was on the upswing. A range of other job measures all improved, including a huge increase in the number of people reporting in a separate survey by the Labor Department that they found a job last month. At the same time, the government revised the figures for the two previous months, adding 31,000 more jobs to the numbers previously reported for August and September. The primary disappointment was the lack of wage growth. Hourly average earnings have remained stuck, rising only 0.1 percent in October, on the heels of a 0.2 perc...

WASHINGTON—U.S. payrolls grew modestly in October but the unemployment rate fell and wages edged up, signs the labor market is strengthening. Nonfarm payrolls grew a seasonally adjusted 214,000 last month, the Labor Department said Friday. Since the start of the year, employers have added more than 220,000 workers on average each month, a pace last consistently maintained nearly a decade ago. Hourly Wages Climb at 2% Annual Pace By Eric Morath And Josh Mitchell Jobs Report: U.S. Adds 214,000 Jobs; Unemployment Rate Falls to 5.8%

A key gauge of Puerto Rico’s economy posted another drop in September, marking nearly two years of decline and its second steepest decline in 2014. The Government Development Bank’s Economic Activity Index for September was 124.9, reflecting a 1.8 percent year-over-year decline compared to the same month in 2013. That was the biggest drop year-over-year since the index plunged 2.5 percent in February. It edged 0.5 percent compared to August 2014, stopping a five-month skid month-over-month and pulling up from a 20-year low. Total non-farm payroll employment for September 2014 averaged 916,300, an annual increase of 0.2 percent. Cement sales for September, a key metric of construction activity, totaled 1.10 million bags, a year-over-year decrease of 9.7 percent. Electric power generation for September 2014 totaled 1,795.2 million kWh, a year-over- year decrease of 5.3 percent. The preliminary number for gasoline consumption in September 2014 was 85.1 million gallons, an 8.6 percent...

Puerto Rican Gov. Alejandro Garcia Padilla on Sunday called on the island’s citizens to “redouble” their efforts to overcome their worst economic crisis in 70 years. He said that in the less than two years remaining in his term, his team of advisors and cabinet officers had “launched the most urgent process of economic transformation required by the country.” He noted that “positive transformations and changes take time” and he said he would accept criticism and recommendations “with humility and firmness.” “My administration is facing the worst fiscal and economic crisis ... since the 1940s. We’re making difficult decisions, but ones that cannot be put off, in the face of the reality we’re facing,” said Garcia Padilla, going on to accuse previous administrations of not having “either the courage or the will” to implement the measures. “At this time, the most important thing is staying firm to our plan, united as a people, focused on the (island’s) recovery. Our goal is to achieve ...

Risk Summary - Puerto Rico - DEC 2014 | Latin America Monitor