Madagascar has no specific legal framework governing cryptocurrency or digital assets; no dedicated crypto law, regulation, or official guidance has been enacted as of 2025–2026, and no named authority has been empowered to license or supervise virtual asset service providers Madagascar - United States Department of State

The Central Bank of Madagascar (Banky Foiben'i Madagasikara, BFM) and the Ministry of Economy and Finance (MEF) exercise general financial oversight, but no entity has been designated as the licensing authority for crypto activities, and no crypto license exists Madagascar - United States Department of State

No entity has received a license or authorization to operate a cryptocurrency exchange, wallet provider, or digital asset business in Madagascar; the number of licensed virtual asset service providers is zero Madagascar - United States Department of State

Crypto activity operates in a legal gray zone: no explicit prohibition exists, but no legal protection, regulatory pathway, or official recognition is available to businesses or investors Madagascar - United States Department of State

The practical reality is that cryptocurrency businesses face significant legal uncertainty, potential foreign exchange controls on euro and dollar outflows, and scrutiny under Madagascar's anti-money laundering/counter-terrorist financing (AML/CFT) regime, which the government has been strengthening since 2023–2024 Madagascar - United States Department of State

Madagascar's financial regulatory architecture is anchored by the Ministry of Economy and Finance (MEF), which oversees economic policy, tax administration, and foreign exchange controls; the MEF has the authority to approve or restrict foreign currency transfers Madagascar - United States Department of State

The Central Bank of Madagascar (Banky Foiben'i Madagasikara, BFM) operates as the monetary authority, though the source text does not provide its website or any specific crypto mandate; no reference to BFM crypto authority appears in the provided materials Madagascar - United States Department of State

The Economic Development Board of Madagascar (EDBM) serves as the country's investment promotion agency and one-stop shop for business registration, but it has no crypto-specific mandate; EDBM directs larger investments to the Office of the President for approval Madagascar - United States Department of State

The primary general investment law is the Investment Code (Law No. 2023-002 of July 27, 2023, on Investments), which confirms the rights of foreign and domestic private parties to establish and own business enterprises, but it contains no provisions on digital assets or virtual currencies Madagascar - United States Department of State

The Mining Code (promulgated in 2023) and the Investment Code both brought more transparency to investing in Madagascar, but neither addresses cryptocurrency mining, digital tokens, or blockchain activities Madagascar - United States Department of State

Madagascar's 2023 General Tax Code reforms adjusted income tax rates and corporate taxes, limited tax exemptions, reinstated VAT on fuel, and introduced advance tax payments on exports; these reforms do not contain any crypto-specific tax provisions Madagascar - United States Department of State

From 2023–2024, Madagascar's legal regime saw developments in investment law, tax reform, and environmental protection, alongside ongoing efforts to strengthen measures against money laundering and terrorist financing, but no digital asset law was enacted Madagascar - United States Department of State

Madagascar is a member of the Common Market for Eastern and Southern Africa (COMESA) and ratified the African Continental Free Trade Area (AfCFTA) Agreement on November 21, 2024; neither of these trade frameworks includes crypto-specific regulations Madagascar - United States Department of State

Madagascar is a member of COMESA, with which the United States signed a Trade and Investment Framework Agreement (TIFA) in 2001; this agreement does not address digital asset regulation Madagascar | United States Trade Representative

Madagascar has nine bilateral investment treaties (BITs) in force, with Belgium-Luxembourg Economic Union (BLEU), China, France, Germany, Mauritius, Norway, South Africa, Sweden, and Switzerland; none include crypto-specific provisions Madagascar - United States Department of State

The WTO completed a Trade Policy Review of Madagascar in February 2025, which highlighted the importance of transparency and fighting corruption to attract foreign investment, but made no mention of cryptocurrency regulation Madagascar - United States Department of State

Madagascar was ranked 140th out of 180 countries in Transparency International's 2024 Corruption Perceptions Index, improving from 145th in 2023; corruption is noted as pervasive in judiciary, police, tax, customs, land ownership, and mining sectors Madagascar - United States Department of State

The Bureau de Normes de Madagascar (BNM) is responsible for standards development, including in areas like telecommunications and electronics, but has no published standards for blockchain or digital assets Madagascar - Standards for Trade

The National Laboratory of Research in Telecommunications (LNRT) handles verification, inspection, and certification of telecommunications equipment, but there is no equivalent laboratory or authority for crypto infrastructure Madagascar - Standards for Trade

No licensing regime exists for cryptocurrency or virtual asset service providers in Madagascar; there is no law, regulation, or decree establishing license categories, application procedures, or issuance authorities for digital asset businesses Madagascar - United States Department of State

The number of entities licensed to conduct crypto exchange, custody, wallet, or brokerage services in Madagascar is zero; no VASP license has ever been granted because no such license type exists Madagascar - United States Department of State

For general business registration, companies must use the EDBM one-stop shop, where they obtain business identification cards, tax registration confirmation, commercial registration numbers, and apply for visas, work permits, or professional cards; the average time to register a company is 48 hours Madagascar - United States Department of State

Companies seeking to operate in Madagascar must secure a physical local address with a signed lease before registration and must register for social security and health insurance through the EDBM process Madagascar - United States Department of State

Business registration through EDBM can be completed online in four steps: creation of an account, creation of the online file, validation of the admissibility of the file, and company registration Madagascar - United States Department of State

The Investment Code (Law No. 2023-002 of July 27, 2023) allows 100 percent foreign ownership of businesses with no legal requirement for Malagasy citizens to own shares of foreign investments, but foreign companies report additional licensing scrutiny and unexplained holdups Madagascar - United States Department of State

Foreign ownership is restricted to 66 percent in the telecommunications sector, and extra regulatory provisions apply to all investors in strategic sectors including banking, insurance, mining, oil and gas, medical, and pharmaceuticals; crypto is not listed among these strategic sectors Madagascar - United States Department of State

The EDBM serves as a de facto screening mechanism, conducting reviews of foreign investment that are submitted to the licensing authority, and finally approved by the Office of the President of Madagascar; many foreign investment projects have been pending presidential approval for several years Madagascar - United States Department of State

No capital requirements, minimum capitalization, or monetary thresholds have been set for crypto businesses in Madagascar because no crypto licensing framework exists Madagascar - United States Department of State

Madagascar has been strengthening measures against money laundering and terrorist financing from 2023–2024, but the source text does not specify which AML/CFT laws apply to crypto businesses or whether virtual assets are covered by any AML obligations Madagascar - United States Department of State

The provided source materials do not contain any specific Customer Due Diligence (CDD), Enhanced Due Diligence (EDD), Suspicious Transaction Reporting (STR), record retention, beneficial ownership, or Politically Exposed Person (PEP) screening requirements for cryptocurrency businesses in Madagascar Madagascar - United States Department of State

The source text indicates that giving or accepting a bribe is a criminal act subject to trial by court in Madagascar, and corruption is an ongoing issue in tax and customs sectors, which could affect AML compliance enforcement Madagascar - United States Department of State

No regulatory body in Madagascar has issued AML/KYC directives specific to virtual asset service providers, as no crypto-specific regulatory framework exists Madagascar - United States Department of State

The source text contains no cryptocurrency-specific enforcement actions in Madagascar; no penalties, fines, arrests, or court cases involving digital assets are documented in the provided materials Madagascar - United States Department of State

In the broader investment context, top aides including a former chief of staff were caught attempting to solicit bribes in exchange for exclusive mining rights, raising concerns about corruption in the administration; this case involves mining, not crypto Madagascar - United States Department of State

The Ministry of Economy and Finance ordered restrictions on foreign currency accounts, and the government may prevent foreign currency transfers if deemed necessary; this could impact crypto businesses seeking to convert local currency to euros or dollars, but no specific enforcement case is documented Madagascar - United States Department of State

No tax guidance has been issued for virtual assets in Madagascar; the 2023 General Tax Code reforms do not contain any provisions addressing cryptocurrency, digital tokens, or blockchain-based income Madagascar - United States Department of State

The 2023 General Tax Code reforms adjusted income tax rates and corporate taxes, limited tax exemptions, reinstated VAT on fuel, introduced advance tax payments on exports, and reformed excise duties on tobacco, but made no mention of digital assets Madagascar - United States Department of State

There is no Capital Gains Tax framework specific to crypto, no VAT treatment for crypto transactions, and no income tax classification for crypto-derived earnings published by Madagascar's tax authorities Madagascar - United States Department of State

Madagascar does not have a bilateral taxation treaty with the United States, which means U.S. persons engaged in crypto activities in Madagascar have no tax treaty protections Madagascar - United States Department of State

The most significant gap is the complete absence of a legal definition for cryptocurrency, virtual assets, digital assets, or blockchain technology in Madagascar's legal framework; no law names or classifies these instruments Madagascar - United States Department of State

No government ministry, agency, or central bank unit has been designated as the competent authority for digital assets; the EDBM, MEF, and BFM have no published crypto-specific mandates Madagascar - United States Department of State

Businesses face the risk of foreign exchange restrictions: the MEF has ordered restrictions on foreign currency accounts due to a shortage of euros and U.S. dollars in Madagascar, and the government receives copies of all foreign currency transfer requests and may prevent transfers Madagascar - United States Department of State

Regulatory unpredictability is a major risk: laws and regulations are often implemented without significant private sector input, and foreign companies regularly report being subjected to likely discriminatory licensing and tax scrutiny, particularly on exports and imports Madagascar - United States Department of State

The de facto screening mechanism through EDBM and presidential approval creates unpredictable timeframes: some of the largest foreign investment projects have been pending presidential approval for several years, with no predictable timeframe or standard requirements Madagascar - United States Department of State

Corruption risks are elevated: Madagascar ranked 140th out of 180 in Transparency International's 2024 Corruption Perceptions Index, with corruption pervasive in the judiciary, police, tax, and customs sectors, which are all relevant to crypto business operations Madagascar - United States Department of State

The lack of FATF compliance information in the source materials means it is unknown whether Madagascar has implemented the FATF Recommendation 15 requirements for virtual assets and virtual asset service providers Madagascar - United States Department of State

No standards exist for crypto infrastructure: the Bureau de Normes de Madagascar (BNM) covers ISO, CEI, OIML, and Codex Alimentarius standards, but has no blockchain, crypto, or distributed ledger technology standards Madagascar - Standards for Trade

Companies operating in Madagascar can open and maintain bank accounts in local and foreign currencies, but foreign currency transfers often require government approval, creating operational risk for crypto-to-fiat conversions Madagascar - United States Department of State

The practical reality is that while no law explicitly prohibits cryptocurrency, the combination of regulatory silence, foreign exchange controls, corruption, and unpredictable approval processes makes Madagascar a high-risk jurisdiction for crypto businesses Madagascar - United States Department of State

Madagascar - United States Department of State

Madagascar - Standards for Trade

Madagascar | United States Trade Representative