Regulatory Alerts2023-05-09
Instruction No. 003-DOM/23 of May 9, 2023 repealing Instruction No. 004-DOM/22 and amending certain provisions of Instruction No. 007-DOM/19 on the interest rate corridor system
The Central Bank of Madagascar issued Instruction No. 003-DOM/23 to amend the interest rate corridor system established under Instruction No. 007-DOM/19. The directive maintains the corridor width at 2.00 percentage points and sets the deposit facility rate at 8.50% and the marginal lending facility rate at 10.50%. It simultaneously repeals Instruction No. 004-DOM/22 in its entirety and takes effect on May 10, 2023.
CENTRAL BANK OF MADAGASCAR
DIRECTORATE OF MONETARY OPERATIONS
INSTRUCTION NO. 003-DOM/23 repealing Instruction No. 004-DOM/22 of October 18, 2022 and amending certain provisions of Instruction No. 007-DOM/19 of October 25, 2019 on the interest rate corridor system
The Governor of the Central Bank of Madagascar,
Having regard to Law No. 2016-004 of July 29, 2016, supplemented by Law No. 2016-057 of February 2, 2017 establishing the Statutes of the Central Bank of Madagascar,
Having regard to Law No. 2020-011 of September 1, 2020 on banking law,
Having regard to Decree No. 2023-011 of January 10, 2023 repealing the provisions of Decree No. 2019-2069 of November 6, 2019 and appointing the Governor of the Central Bank of Madagascar,
Having regard to Instruction No. 006-DOM/19 of October 25, 2019 on money market instruments,
Having regard to Instruction No. 007-DOM/19 of October 25, 2019 on the interest rate corridor system,
DECIDES
Article 1:
This Instruction aims to amend the provisions of Articles 2 and 5 of Instruction No. 007-DOM/19 of October 25, 2019 on the interest rate corridor system and to repeal the provisions of Instruction No. 004-DOM/22 of October 18, 2022.
Article 2:
The provisions of Articles 2 and 5 of Instruction No. 007-DOM/19 of October 25, 2019 on the interest rate corridor system are amended as follows:
« Article 2 (new): The width of the interest rate corridor is maintained at 2.00 percentage points. »
« Article 5 (new): The rates for standing facilities are set as follows
- Deposit facility rate: 8.50%
- Marginal lending facility rate: 10.50% »
1
Article 3:
Instruction No. 004-DOM/22 of October 18, 2022 repealing Instruction No. 003-DOM/22 of August 2, 2022 and amending certain provisions of Instruction No. 007-DOM/19 of October 25, 2019 on the interest rate corridor system, is hereby repealed in its entirety.
Article 4:
This Instruction shall enter into force as of May 10, 2023.
Antananarivo, May 9, 2023
[Signature]
THE GOVERNOR AIVO HANDRIATIANA ANDRIANARIVELO