Fintech & payments regulation in Madagascar (2026)
Fintech and digital payments in Madagascar: partial.
Madagascar has a dedicated e-money licensing regime under Law n°2016-056 (2017) and implementing CSBF instructions, under which mobile money operators (MVola, Orange Money, Airtel Money) are licensed and have achieved interoperability. However, the framework is incomplete: digital credit providers and BNPL lack clear licensing rules, no open banking regime exists, and broader fintech regulation remains nascent, though a CBDC pilot (eAriary) launched in 2025.
Legal framework
Loi n°2016-056 du 2 février 2017 sur la Monnaie Électronique et les Établissements de Monnaie Électronique; CSBF Instruction n°002/2017-CSBF (EMI licensing); supervised by Banky Foiben'i Madagasikara (BFM) and Commission de Supervision Bancaire et Financière (CSBF)
Key points: digital payments & fintech in Madagascar
E-Money Law (2017)
Law n°2016-056 of 2 February 2017 establishes the legal concept of electronic money and requires e-money institutions (EMIs) to be incorporated in Madagascar and meet minimum capital requirements set by decree. EMIs are explicitly prohibited from extending credit.
CSBF Licensing Instructions
CSBF Instruction n°002/2017-CSBF governs the agrément (license) process for EMIs; CSBF Instruction n°003/2017 regulates global trust accounts used to safeguard e-money float. The CSBF is the prudential supervisor for all banks and EMIs.
Mobile Money & Interoperability
MVola, Orange Money Madagascar, and Airtel Money operate as licensed EMIs and achieved full interoperability under a GSMA-supported agreement. Together they serve the majority of the country's financially included population. A proposed 0.5% transaction tax announced in November 2024 was strongly contested by all three operators.
CBDC Pilot (eAriary)
BFM launched the eAriary CBDC pilot in May 2025 using eCurrency DSC3 technology in partnership with PayLogic SA. BFM retains sole issuance authority; distribution is handled by commercial banks, EMIs, microfinance institutions, and fintechs. The project aims to reduce cash reliance and broaden financial inclusion.
Digital Credit & BNPL, Gap
As of 2023, no specific regulation governs digital credit providers or BNPL in Madagascar. Legal analysis by John W. Ffooks & Co finds no dedicated licensing rules or precedent; the Central Bank and CSBF are the recommended points of contact for pre-licensing clarity.
Open Banking & Broader Fintech
Madagascar has no open banking mandate or API framework. The broader fintech ecosystem numbers approximately 20 providers, primarily in payments. The World Bank and IFC have highlighted regulatory gaps and called for further reform to support financial inclusion and fintech growth.
Sources
- justice.mg/wp-content/uploads/2019/02/L2016-056.pdf
- edbm.mg/wp-content/uploads/2017/12/Loi_n_2016_056_sur_la_Monnaie_Electronique
- pic.commerce.mg/sites/default/files/inline-files/instruction%20002_2017%20relative%20
- pic.commerce.mg/sites/default/files/inline-files/Instruction%20003_2017%20relative%20
- banky-foibe.mg/eariary
- prnewswire.com/news-releases/ecurrency-cbdc-technology-in-madagascar-for-eariary-pro
- ifc.org/en/stories/2023/madagascars-mobile-money-boom
- itnewsafrica.com/2024/11/madagascar-mvola-orange-money-airtel-money-decry-new-mobile-m
- jwflegal.com/news/2023-digital-credit-providers-madagascar/
- blogs.worldbank.org/en/psd/digital-financial-services-and-fintech-can-play-valuable-role-
- state.gov/reports/2024-investment-climate-statements/madagascar
- digitalfinance.worldbank.org/country/madagascar
Next for Madagascar: Digital Nomad & ResidencyVia other route
Next topicOrientation, not legal advice: verify against the primary sources linked above. Last verified 24 May 2026. Methodology & how to cite · State of Technology Regulation 2026