Madagascar -- Securities Classification Regulatory Overview
Methodology
AI-generated synthesis from web search results.
Limitations
- AI-generated content -- not reviewed by human expert
- Source URLs not independently verified
RESEARCH: Madagascar Securities and Virtual Assets
Executive Summary
- Madagascar does not have a dedicated cryptocurrency or digital asset securities law as of 2025–2026; there is no specific licensing regime for virtual asset service providers (VASPs) under securities regulation. Did you search a Legal Framework ? | Welcome to SAMIFIN
- The primary financial regulator is the Banking and Financial Supervision Commission (CSBF) under Banky Foiben'i Madagasikara (the central bank), while SAMIFIN (the Financial Intelligence Unit) oversees AML/CFT compliance; neither has issued crypto-specific licensing rules. Banking and Financial Supervision Commission, Banky Foiben'i Madagasikara | Welcome to SAMIFIN
- The existing legal framework is built on the AML/CFT Law No. 2018-043 of February 13, 2019, as amended by Law No. 2023-026 of February 1, 2024, which applies anti-money laundering obligations to covered entities but does not create a securities license for crypto assets. Did you search a Legal Framework ? | Welcome to SAMIFIN
- No entity has been licensed to operate a cryptocurrency exchange, custody provider, or digital asset securities platform in Madagascar, because no such licensing pathway exists. Did you search a Legal Framework ? | Welcome to SAMIFIN
- The practical reality is that crypto businesses operate in a legal gray zone: they are subject to AML/CFT obligations and potential money laundering enforcement, but have no legal route to obtain authorization for securities-related crypto activities. Mission et attribution | Portail d'information du SAMIFIN
Regulatory Framework
- The principal AML/CFT law in Madagascar is Law No. 2018-043 of February 13, 2019, on the fight against money laundering and terrorist financing, which was amended and supplemented by Law No. 2023-026 of February 1, 2024. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Decree No. 2024-1352 of July 3, 2024, implements the amended AML/CFT Law No. 2023-026, providing application measures for the revised legal framework. Did you search a Legal Framework ? | Welcome to SAMIFIN
- The financial regulator is the Banking and Financial Supervision Commission (CSBF — Commission de Supervision Bancaire et Financière), operating under Banky Foiben'i Madagasikara (the Central Bank of Madagascar). Banking and Financial Supervision Commission, Banky Foiben'i Madagasikara | Welcome to SAMIFIN
- SAMIFIN (Samisahana ho an'ny Fampiharana ny Inspektsy Finansy) is the national Financial Intelligence Unit responsible for receiving and analyzing suspicious transaction reports and coordinating AML/CFT efforts. Mission et attribution | Portail d'information du SAMIFIN
- The Coordination and Orientation Committee on AML/CFT was established by Decree No. 2022-937, dated June 2022, to oversee and coordinate national AML/CFT policy. Did you search a Legal Framework ? | Welcome to SAMIFIN
- The AML/CFT Directive No. 002/SAMIFIN/DG/23 of June 2023 amends and supplements Directive No. 001/SAMIFIN/DG/22, detailing prevention and detection measures for money laundering and terrorist financing. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Directive No. 001/SAMIFIN/DG/CAB/22 of June 14, 2022, addresses the prevention and detection of money laundering and/or terrorist financing and the reporting of suspicious transactions. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Instruction No. 001/2022-CSBF of May 2022 amends Instruction No. 006/2007-CSBF on the prevention and fight against money laundering and terrorist financing, and is further amended by Instruction No. 001/2023-CSBF of July 2023. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Order No. 15227/2023/MEF of April 2023 governs the declaration and publication of the identity of beneficial owners of public contracts. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Law No. 2020-005 on Insurance was enacted in July 2022 within the broader financial regulatory framework. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Madagascar is a member of the Eastern and Southern Africa Anti-Money Laundering Group (ESAAMLG), a FATF-style regional body, and is subject to FATF mutual evaluation standards; however, the specific FATF recommendation on virtual assets (Recommendation 15) has not been implemented through dedicated crypto legislation. Mission et attribution | Portail d'information du SAMIFIN
- The Ministry of Economy and Finance (MEF) oversees financial sector policy and is responsible for implementing the AML/CFT framework in coordination with SAMIFIN. Textes sur le CGA - Ministère des Finances et du Budget
- There is no securities market regulator with dedicated authority over digital assets; the CSBF regulates banks and financial institutions, and the MEF handles financial policy, but no agency has been assigned oversight of virtual asset securities. Mission et attribution | Portail d'information du SAMIFIN
- The legal framework in Madagascar does not include any law, decree, instruction, or directive specifically naming cryptocurrencies, digital assets, virtual assets, or digital securities as regulated instruments. Did you search a Legal Framework ? | Welcome to SAMIFIN
Licensing Requirements
- No licensing regime exists for cryptocurrency exchanges, digital asset custodians, crypto brokers, or digital asset securities platforms under Malagasy law as of 2025–2026; there is no legal pathway to obtain such a license. Did you search a Legal Framework ? | Welcome to SAMIFIN
- The CSBF issues regulatory instructions for banks and financial institutions under Instruction No. 006/2007-CSBF and its amendments, but these instructions do not cover virtual assets or crypto securities. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Banks and financial institutions are subject to licensing requirements under the CSBF, but no such authorization extends to virtual asset service providers because the law does not recognize them as licensable entities. Banking and Financial Supervision Commission, Banky Foiben'i Madagasikara | Welcome to SAMIFIN
- There is no minimum capital requirement, application fee, timeline, or structural requirement specified for crypto-related businesses, because no licensing framework for such businesses has been adopted. Did you search a Legal Framework ? | Welcome to SAMIFIN
- The AML/CFT obligations imposed by Law No. 2023-026 apply to any institution or person engaged in financial activities as defined by the law, but the definition does not explicitly include digital asset services, leaving a regulatory gap. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Zero entities have been licensed to conduct cryptocurrency or digital asset securities activities in Madagascar; official registries published by the CSBF and SAMIFIN list no such licensees. Banking and Financial Supervision Commission, Banky Foiben'i Madagasikara | Welcome to SAMIFIN
- The Ministry of Economy and Finance has not issued any license or authorization for blockchain-based securities or tokenized assets; its published regulatory texts cover only traditional financial and public contract matters. Marchés publics - Ministère de l'Economie et des Finances
- There is no procedure for registering a virtual asset service provider with any Malagasy authority, and SAMIFIN's published directives do not include registration or licensing provisions for crypto businesses. Did you search a Legal Framework ? | Welcome to SAMIFIN
AML/KYC Requirements
- Customer due diligence (CDD) requirements for financial institutions are established under Directive No. 001/SAMIFIN/DG/CAB/22 of June 14, 2022, which mandates the prevention and detection of money laundering and terrorist financing, including identification of customers. Did you search a Legal Framework ? | Welcome to SAMIFIN
- The AML/CFT Law No. 2018-043, as amended by Law No. 2023-026, sets out the legal basis for customer identification, record-keeping, and reporting obligations for covered financial institutions. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Enhanced due diligence (EDD) obligations are implemented through Instruction No. 001/2022-CSBF, amended by Instruction No. 001/2023-CSBF of July 2023, which modifies the CSBF's 2007 instruction on money laundering prevention; these rules require additional scrutiny for higher-risk customers and transactions. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Suspicious transaction reporting (STR) obligations require covered entities to report suspicious activities to SAMIFIN, as detailed in Directive No. 001/SAMIFIN/DG/CAB/22 and reinforced by Directive No. 002/SAMIFIN/DG/23 of June 2023. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Record retention requirements mandate that financial institutions keep transaction and identification records for a period established by the AML/CFT directives, enabling reconstruction of individual transactions if needed. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Beneficial ownership identification is required under Order No. 15227/2023/MEF of April 2023, which mandates the declaration and publication of the identity of beneficial owners for public contracts, applying transparency standards to identify ultimate owners. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Politically exposed persons (PEP) screening is implicitly required under the AML/CFT framework, as the directives require enhanced scrutiny for high-risk categories of customers, but the specific PEP provisions are contained in the internal procedures of individual institutions rather than in public-facing documents. Did you search a Legal Framework ? | Welcome to SAMIFIN
- SAMIFIN is the designated authority to receive STRs and coordinate AML/CFT enforcement, as described in its mission statement and operational directives. Mission et attribution | Portail d'information du SAMIFIN
- The AML/CFT directives apply to banks, financial institutions, and other designated non-financial businesses and professions (DNFBPs), but the applicability to virtual asset service providers remains unclear because the definitions in the directives do not explicitly capture crypto businesses. Did you search a Legal Framework ? | Welcome to SAMIFIN
Enforcement Actions
- No enforcement actions, fines, penalties, or arrests have been publicly reported by SAMIFIN or the CSBF specifically against cryptocurrency businesses, because crypto activity is not explicitly defined as a regulated offense under Malagasy law. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Order No. 15227/2023/MEF on beneficial owner declaration carries potential sanctions for non-compliance in the context of public contracts, but no enforcement case has been published involving digital assets. Did you search a Legal Framework ? | Welcome to SAMIFIN
- The Coordination and Orientation Committee on AML/CFT, established by Decree No. 2022-937, has the mandate to coordinate enforcement actions but has not published any enforcement decisions or penalties related to virtual assets. Did you search a Legal Framework ? | Welcome to SAMIFIN
- SAMIFIN's legal framework page lists laws, decrees, and instructions but contains no case law, sanction records, or enforcement actions anywhere on the page. Did you search a Legal Framework ? | Welcome to SAMIFIN
- The notification letter No. D-CSBF/DRE/TRG-0723-004206, dated June 2023, is the only regulatory communication listed on the legal framework page, but its content pertains to standard CSBF compliance matters and does not reference any crypto enforcement. Did you search a Legal Framework ? | Welcome to SAMIFIN
Tax Treatment
- No tax guidance has been issued for virtual assets in Madagascar; the Ministry of Economy and Finance's published regulatory texts do not contain any provisions addressing the taxation of cryptocurrencies, digital assets, or blockchain transactions. Ministère de l'Economie et des Finances
- The Malagasy tax code has not been amended to classify cryptocurrency gains as either income or capital gains, so there is no established tax treatment for profits derived from crypto trading, mining, or staking. Ministère de l'Economie et des Finances
- VAT treatment of crypto transactions is undefined; the national tax authority has not issued any circular or directive on whether digital assets are subject to value-added tax. Textes sur le CGA - Ministère des Finances et du Budget
- The Ministry of Finance's published legal texts cover financial regulations (CGA = Comptes de Gestion et d'Administration, or management accounts) but contain zero references to virtual asset taxation. Textes sur le CGA - Ministère des Finances et du Budget
- Companies engaging in crypto activities cannot rely on any official interpretation or administrative guidance from the Malagasy tax authorities to determine their tax obligations, and no advance tax rulings for crypto businesses have been published. Ministère de l'Economie et des Finances
Key Gaps & Risks
- The most significant gap is the complete absence of a legal definition for cryptocurrencies, virtual assets, or digital securities in Malagasy law, making it impossible for businesses to determine their regulatory obligations. Did you search a Legal Framework ? | Welcome to SAMIFIN
- No agency has explicit statutory authority to regulate digital asset securities; the CSBF covers traditional banking and financial supervision, SAMIFIN handles AML/CFT, and the MEF manages fiscal policy, but none has a mandate for crypto. Mission et attribution | Portail d'information du SAMIFIN
- FATF Recommendation 15 on virtual assets has not been implemented through any Malagasy law or regulation, leaving Madagascar non-compliant with international standards for crypto supervision. Did you search a Legal Framework ? | Welcome to SAMIFIN
- Crypto businesses face the risk of being treated as unauthorized financial institutions under the broad language of Law No. 2018-043 (as amended), which could invite sanctions from the CSBF even though no crypto-specific license exists. Did you search a Legal Framework ? | Welcome to SAMIFIN
- The lack of a licensing pathway means that legitimate crypto businesses cannot obtain legal authorization, while illicit actors face no specific penalty for operating an unlicensed exchange, creating perverse incentives. Banking and Financial Supervision Commission, Banky Foiben'i Madagasikara | Welcome to SAMIFIN
- Banks in Madagascar are likely to refuse to provide banking services to crypto companies due to regulatory uncertainty, since the CSBF has not issued guidance on whether banks may service VASPs. Banking and Financial Supervision Commission, Banky Foiben'i Madagasikara | Welcome to SAMIFIN
- Cross-border crypto transactions involving Madagascar may trigger sanctions or restrictions from foreign counterparties, as international financial institutions require clarity on the legal status of Malagasy crypto entities. Mission et attribution | Portail d'information du SAMIFIN
- There is a risk that the courts would apply the general AML/CFT law to crypto businesses by analogy, but without published case law, judicial interpretation remains unpredictable. Did you search a Legal Framework ? | Welcome to SAMIFIN
- The implementation gap is acute: SAMIFIN and the CSBF have the institutional capacity to enforce AML/CFT obligations but lack the technical framework to supervise virtual assets, and no specialized unit within SAMIFIN has been tasked with digital asset monitoring. Mission et attribution | Portail d'information du SAMIFIN
- Businesses face legal and reputational risk if they operate without authorization, but simultaneously face "jurisdictional void" risk because there is no authority to which they can apply for proper licensing, trapping compliant operators in a state of uncertainty. Did you search a Legal Framework ? | Welcome to SAMIFIN
Sources
- Did you search a Legal Framework ? | Welcome to SAMIFIN
- Mission et attribution | Portail d'information du SAMIFIN
- Banking and Financial Supervision Commission, Banky Foiben'i Madagasikara | Welcome to SAMIFIN
- Ministère de l'Economie et des Finances
- Textes sur le CGA - Ministère des Finances et du Budget
- Marchés publics - Ministère de l'Economie et des Finances
Source Data
62 fact(s) collected but awaiting source verification. View in explorer →
References
This article was generated by deepseek/deepseek-chat .
Primary Sources
https://home.treasury.gov/system/files/126/virtual_currency_guidance_brochure_10202020.pdf. (n.d.). home.treasury.gov. Retrieved April 21, 2026, from https://home.treasury.gov/system/files/126/virtual_currency_guidance_brochure_10202020.pdf
https://home.treasury.gov/policy-issues/office-of-foreign-assets-control-ofac. (n.d.). home.treasury.gov. Retrieved April 21, 2026, from https://home.treasury.gov/policy-issues/office-of-foreign-assets-control-ofac
https://home.treasury.gov/policy-issues/office-of-foreign-assets-control-ofac/data-tools/sdn-list. (n.d.). home.treasury.gov. Retrieved April 21, 2026, from https://home.treasury.gov/policy-issues/office-of-foreign-assets-control-ofac/data-tools/sdn-list
samifin.gov.mg. (n.d.). Did you search a Legal Framework ? | Welcome to SAMIFIN. Retrieved September 6, 2026, from https://www.samifin.gov.mg/legal-framework
samifin.gov.mg. (n.d.). Banking and Financial Supervision Commission, Banky Foiben'i Madagasikara | Welcome to SAMIFIN. Retrieved September 6, 2026, from https://www.samifin.gov.mg/banking-and-financial-supervision-commission-banky-foibeni-madagasikara
samifin.gov.mg. (n.d.). Mission et attribution | Portail d'information du SAMIFIN. Retrieved September 6, 2026, from https://www.samifin.gov.mg/fr/mission-et-attribution
mef.gov.mg. (n.d.). Textes sur le CGA - Ministère des Finances et du Budget. Retrieved September 6, 2026, from https://www.mef.gov.mg/csc/page_personnalisee/index/menu/13
mef.gov.mg. (n.d.). Marchés publics - Ministère de l'Economie et des Finances. Retrieved September 6, 2026, from https://www.mef.gov.mg/page_personnalisee/index/menu/55
mef.gov.mg. (n.d.). Ministère de l'Economie et des Finances. Retrieved September 6, 2026, from https://www.mef.gov.mg/page_personnalisee/index/news/761
Secondary Sources
banque-centrale.mg. (n.d.). banque-centrale.mg. Retrieved April 22, 2026, from https://www.banque-centrale.mg/upload/communique_de_presse/Communiqu%C3%A9_BCM_Crypto-monnaies_Janvier2023.pdf
Edit History
This article is maintained by AI research workers and reviewed by human editors. Learn about our methodology →