Central Bank of Madagascar -Antananarivo - Madagascar

The Central Bank of Madagascar (Banque Centrale de Madagascar, BCM) is a public institution that serves as the primary monetary authority in Madagascar. Established in 1973, the BCM plays a crucial role in formulating and implementing the country’s monetary policy, with the overarching goal of maintaining price stability and fostering economic growth. The bank operates under the authority of the Government of Madagascar and is responsible for managing the nation’s currency and ensuring the stability of the financial system.

One of the primary functions of the BCM is to implement monetary policy aimed at controlling inflation and stabilizing the national currency, the ariary. The central bank employs various monetary tools, including adjusting interest rates and managing reserve requirements for commercial banks, to influence money supply and achieve its policy objectives. By effectively managing these elements, the BCM seeks to create a stable economic environment conducive to investment and growth.

In addition to its monetary policy role, the Central Bank of Madagascar is responsible for the regulation and supervision of the financial sector. This includes overseeing commercial banks, microfinance institutions, and other financial entities to ensure their sound operation and compliance with regulatory standards. Through effective supervision, the BCM aims to protect depositors, maintain public confidence in the financial system, and mitigate systemic risks that could threaten the economy.

The BCM also plays a vital role in maintaining and operating the country’s payment systems, ensuring that financial transactions are processed efficiently and securely. The bank works to modernize payment infrastructures to facilitate digital payments and enhance financial inclusion, which is essential for promoting economic development in Madagascar.