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

Central Bank of Madagascar

MONETARY OPERATIONS DIRECTORATE

INSTRUCTION NO. 007-DOM/20
Amending Certain Provisions of Instruction No. 009-DOM/19 of October 25, 2019 on the Mandatory Reserve System

The Governor of the Central Bank of Madagascar,

Having regard to Law No. 95-030 of February 22, 1996 on the activity and supervision of credit institutions, as amended,

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 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 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 Ariary deposits is reduced to 11.0%, while that on foreign currency deposits is increased to 24.0%.

P.O. Box 550 Antananarivo (101) - Madagascar ■ Tel. (261) 20 22 217 51/ 20 22 234 65 ■ Fax (261) 20 22 345 32 E-mail: banque-centrale@bfm.mg ■ Website: www.banque-centrale.mg

Article 3:

This Instruction shall enter into force as of the date of its signature, i.e., from the reserve-building period for the month of November 2020.

Antananarivo, November 4, 2020

THE GOVERNOR
HENRI EDMOND RABARIJOHN

ANNEX

MANDATORY RESERVES

Declarant:
STATUS AS OF:
Bank:

TAXABLE BASE FOR MANDATORY RESERVES	RESIDENTS	NON-RESIDENTS	EXTRACT OF MONTHLY STATUS
MANDATORY	Ar (1)	FOREIGN CURRENCY (2)	Ar (3)	FOREIGN CURRENCY (4)	MONTHLY
Demand Deposits
Current Accounts					210
Security Deposits					213
Payable Charges					2186
Matured Treasury Bills					220
Payable Charges on Treasury Bills					2286
Time Deposits
Time Deposits					211
Special Regime Savings Accounts					212
Outstanding Treasury Bills					220
TOTAL	-	-	-	-

Total Ariary Deposits: (1) + (3)	-
Total Foreign Currency Deposits: (2) + (4)	-
Mandatory Reserves to be Built
(5) = [Total (1) + (3)] x 11 %	-
(6) = [Total (2) + (4)] x 24 %	-
Total Reserves to be Built
(5) + (6)	-

At , on
(Signatures and bank seal)