In a notable development and influenced by the repercussions of the Iranian war on African countries, Madagascar declared a nationwide energy emergency for 15 days starting Tuesday, citing supply disruptions caused by the ongoing conflict in the Middle East.

According to a statement issued by the Cabinet of Madagascar, this decision was taken after noting that the country is facing a deep crisis due to the disruption of energy supplies across the island, linked to the conflict in the Middle East.

Declaring a state of emergency in the energy sector allows the government to take exceptional and urgent measures to restore energy supplies and ensure the continuity of public services, especially after local media in Madagascar reported widespread fuel shortages across the country.

Many African governments have responded to the rise in global oil prices, caused by the Iran-Iraq War, by implementing sharp increases in fuel prices, energy-saving measures, or electricity rationing.

Can Madagascar withstand the effects of an Iranian war?

Economically, Madagascar is one of the poorest countries in the world despite having large natural resources and broad economic potential. In 2026, it faces deep economic and structural challenges related to poverty, weak productivity and infrastructure, in addition to the impact of global crises and political volatility.

Recent data from the World Bank indicates that Madagascar’s economy continues to recover gradually after the global crises of recent years, but growth remains limited compared to the scale of the social challenges.

The gross domestic product (GDP) is estimated at approximately $19.38 billion in 2025, and the per capita GDP is approximately $616 per year.

This level of income places Madagascar among the world's low-income countries, with the economy ranking low in the global GDP rankings. Some estimates suggest that the size of the economy may be even larger when the informal economy is accounted for, as it is believed that around 39% of economic activity takes place outside the formal sector.

Agriculture is the backbone of Madagascar's economy

Madagascar's economy is largely dependent on agriculture and natural resources, with gradual growth in the services sector. Agriculture is a key sector of the economy, employing a large part of the population.

Following agriculture come the mining, industry, services and tourism, and financial services sectors. However, poverty is one of the biggest economic challenges in Madagascar, with about 70% of the population living below the international poverty line of $2.15 a day, while more than 70% of the population suffer from multidimensional poverty, including a lack of education and health services.

Over the past few days, Madagascar has faced a severe energy crisis due to fuel supply disruptions linked to international tensions, leading to the declaration of a state of emergency in the energy sector.

Many African governments responded to the rise in global oil prices, caused by the Iran-Iraq War, by implementing sharp increases in fuel prices, energy-saving measures, or electricity rationing.