Grantee Spotlight: Diocese of Antananarivo, Madagascar
Serving 65,000 parishioners, the Diocese of Antananarivo is actively engaged in the social and economic life of Madagascar, which is ranked one of the ten poorest countries in the world. Because of that extreme poverty, the diocese needs support to pay clergy stipends that would typically be covered by parishioners’ donations. The diocese needed to find a way to generate revenue to assist its clergy who are on the frontline of serving vulnerable communities.
In 2017, Trinity awarded a grant for the development of a three-story, mixed-use property, located in a prime location of Antananarivo. Trinity funded 72 percent of the construction cost of the Trana Kambana commercial office building, while six percent was supported by local fundraising, with the remaining 22 percent funded through contractor financing. In 2020, a utility company signed a full-building lease. The income has enabled the diocese to minister to the most vulnerable and support clergy during the coronavirus pandemic.
As of 2021, the Jirama utility company is still leasing the entire building. This lease has provided the diocese with stable cash flow despite the economic impact of COVID-19. The lease generates 7.6 million Malagasy Ariary ($2,000 USD) in net operating income (NOI) each month. From that monthly revenue stream, 52 percent of NOI was used to pay the debt owed to the contractor, seven percent went to direct assistance for diocesan staff due to COVID-19, and another 29 percent went into the diocesan budget, including supporting the diocese’s theological institute, and making emergency roof repairs to the Bishop’s office.
Overall, the estimated annual NOI of 93 million Malagasy Ariary ($24,500 USD) yields a 14 percent annual return on cost for the mixed-use property. Moreover, this income represents a 75 percent increase in the financial capacity of the diocese based on its operating budget for 2020. Such success affirms Trinity's promotion of “mission through marketplace,” the concept that an effective, long-term mission can be developed, sustained, and expanded using the tools of the marketplace.