Instruction No. 004-DOM/21 amending certain provisions of Instruction No. 009-DOM/19 of October 25, 2019 on the mandatory reserve system and repealing Instruction No. 007-DOM/20 of November 4, 2020

CENTRAL BANK OF MADAGASCAR

MONETARY OPERATIONS DIRECTORATE

INSTRUCTION NO. 004-DOM/21 amending certain provisions of Instruction No. 009-DOM/19 of October 25, 2019 on the mandatory reserve system and repealing Instruction No. 007-DOM/20 of November 4, 2020

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. 2019-2069 of November 6, 2019 repealing the provisions of Decree No. 2014-1684 of October 29, 2014 on the appointment of the Governor of the Central Bank of Madagascar and appointing the Governor of the Central Bank of Madagascar (BFM),

Having regard to Instruction No. 008-DOM/19 of October 25, 2019 on the general framework governing mandatory reserves,

Having regard to Instruction No. 009-DOM/19 of October 25, 2019 on the mandatory reserve system,

HEREBY DECIDES

Article 1:

This Instruction aims to repeal the provisions of Instruction No. 007-DOM/20 of November 4, 2020 and to amend the provisions of Article 4 of Instruction No. 009-DOM/19 of October 25, 2019 on the mandatory reserve system.

Article 2:

The provisions of Article 4 of Instruction No. 009-DOM/19 of October 25, 2019 on the mandatory reserve system are amended as follows:

« Article 4 (new): With reference to Article 7 of Instruction No. 008-DOM/19 of October 25, 2019 on the general framework governing mandatory reserves, the mandatory reserve ratio calculated on deposits in Ariary and foreign currency is set at 13.0%. »

Article 3:

Instruction No. 007-DOM/20 of November 4, 2020, amending certain provisions of Instruction No. 009-DOM/19 of October 25, 2019 on the mandatory reserve system, is hereby repealed in its entirety.

Article 4:

This Instruction enters into force and applies from the mandatory reserve accumulation period from November 3 to November 30, 2021.

Antananarivo, November 2, 2021

THE GOVERNOR
HENRI EDMOND RABARIJOHN