Madagascar: Authoritarian capitalism (1979-1993)

Updated November 2005

The slow and half-hearted approach to economic reform by the government did little to stimulate the economy or to reduce the ever heavier burden of debt that the country laboured under. Thus the decade passed, marked by coup attempts, half-baked economic reforms, rising socio-economic misery, political repression and ongoing social unrest (Columbia Encyclopedia 2005). Finding itself unable, once more, to service its debts, and under intense pressure from the IMF and the World Bank in exchange for financial assistance, the government was forced to make a series of economic adjustments such as devaluation of the currency, privatization of state owned enterprises and market deregulation in 1989. Once more the reforms were implemented unenthusiastically, slowly and in a piecemeal fashion (Bertelsmann Foundation 2005).

The effect of this style of economic reform was to make a difficult and painful process even more traumatic, for while living standards and all other measures of social development, health, education and employment fell, the economic fundamentals such as balance of payments, inflation indebtedness and exchange rate stability failed to respond to the measures implemented (Bertelsmann Foundation 2005, Marcus 2004). The steady economic deterioration of the Soviet Union in the 1980's had robbed Ratsiraka of a key economic support and the collapse of socialism in Eastern Europe, and the USSR's preoccupation with internal reform, left authoritarian socialists bereft of political and ideological support both at home and internationally. Moreover the social unrest in Madagascar that hitherto had expressed itself in spontaneous demonstrations of disaffection now became increasingly organised and sophisticated (Library of Congress 1994d, Marcus 2004).

In response to national and international pressure the government embarked on a programme of limited reform. In 1989 laws were passed easing restrictions on the press, while the formation of new political parties was legalized in 1990. This was too little too late and the measures only whet the appetites of the emerging opposition parties, loosely grouped together under the term "Active Forces" and led by Albert Zafy (US State Department 2005). The 1989 elections were rejected by opposition groups and foreign observers alike as fraudulent, marked as they were by manipulation of the voters rolls and ballot stuffing. Ratsiraka's inauguration was the occasion for massive demonstrations and violent clashes in the Capital. In the early 1990s demonstrations, strikes and civil disobedience, culminating in a lengthily general strike in 1991, continued to test the willingness and ability of the regime to cling to power (Library of Congress 1994d, Bertelsmann Foundation 2005).

In July 1992 popular demonstrations forced Ratsiraka to release Active Forces leader Zafy Albert from custody. A strike of 80 000 civil servants under Albert in August 1991 proved to be the turning point in the struggle for democracy in Madagascar. The situation escalated into a general strike that brought the Madagascan economy to a halt as 400 000 people marched in the centre of Antananarivo. The army opened fire on the peaceful demonstrators, killing more than 30 people and wounding hundreds more, creating a crisis of legitimacy for Ratsiraka's government. In response to the crisis Albert set up an alternative government, declaring himself to be Prime Minister. The political umbrella body of the 16 opposition parties that formed Living Forces, the Haute Authorité, was declared to be National Assembly (Marcus 2004, Columbia Encyclopedia 2005, US State Department 2005, Library of Congress 1994d, Thomson Corporation 2005).

The stand-off was resolved by an agreement between Ratsiraka and Albert on October 31, 1991, the Panorama Convention, which created a transitional government. Ratsiraka remained nominally president but executive power was effectively vested in Albert as prime minister with the Haute Authorité acting as the legislature. An 18 month timetable laid out the process by which democratisation was to be accomplished. A new constitution was to be adopted, elections were to be held and new state structures created. The High Constitutional Court was accepted by both parties as the arbiter of disputes (Marcus 2004, US State Department 2005, Library of Congress 1994d).

The Malagasy Christian Council of Churches took on the task of organizing a National Forum, inclusive of all political actors, to draft a new constitution. The constitution making process was conflict ridden. Ratsiraka supporters pressed for a federal dispensation, while Active Forces members attempted to include constitutional provisions that would prevent Ratsiraka from standing for the presidency (US State Department 2005).

On August 19, 1992 the new constitution was overwhelmingly approved by the electorate in a national referendum, despite efforts of Ratsiraka supporters, who opposed the unitary state it sought to create, to disrupt the voting. In the presidential elections that followed on November 25, 1992, Zafy won 46% of the vote and Ratsiraka 29% with the rest going to other candidates. In the runoff election on February 10, 1993 Zafy won with just under 67% of the vote (Library of Congress 1994d). Although the voting was declared free and fair by foreign observers Ratsiraka supporters, organized as the Militant Movement for Malagasy Socialism, protested Zafy's inauguration on March 27, 1993. In National Assembly elections in June 13, 1993 the Active Forces obtained 48 of the 138 seats, their allies a further 27 seats, and they were able to form a governing coalition. Zafy's candidate for Prime Minister, Francisque Ravony, was elected in August and confirmed in office by (Thomson Corporation 2005, US State Department 2005, Marcus 2004, Library of Congress 1994e).

References

BERTELSMANN FOUNDATION AND THE CENTER FOR APPLIED POLICY RESEARCH 2005 "Madagascar", IN Shaping Change - Strategies of Development and Transformation [www] http://www.bertelsmann-transformation-index.de/79.0.html?L=1 [opens new window] (accessed 23 Oct 2007).

COLUMBIA ENCYCLOPEDIA 2005 "Madagascar", Sixth edition, [www] http://www.bartleby.com/65/ma/Madagasc.html [opens new window] (accessed 23 Oct 2007).

LIBRARY OF CONGRESS 1994d "The Second Republic, 1975-92" IN Country Study: Madagascar [www] http://lcweb2.loc.gov/cgi-bin/query/r?frd/cstdy:@field(DOCID+mg0016) [opens new window] (accessed 23 Oct 2007).

LIBRARY OF CONGRESS 1994e "The Third Republic, 1993-" IN Country Study: Madagascar [www] http://lcweb2.loc.gov/cgi-bin/query/r?frd/cstdy:@field(DOCID+mg0017) [opens new window] (accessed 23 Oct 2007).

MARCUS, RR 2004 "Political Change in Madagascar: Populist Democracy or Neopatrimonialism by another name?", Institute of Security Studies, Occasional Paper 89, [www] http://www.iss.co.za/pubs/papers/89/Paper89.htm [opens new window] (accessed 23 Oct 2007).

THOMSON CORPORATION 2005 "Madagascar: History" IN Encyclopedia of the Nations, [www] http://www.nationsencyclopedia.com/Africa/Madagascar-HISTORY.html [opens new window] (accessed 23 Oct 2007).

US STATE DEPARTMENT 2005 "Background Note: Madagascar" [www] http://www.state.gov/r/pa/ei/bgn/5460.htm [opens new window] (accessed 23 Oct 2007).