What is Malagasy Ariary (MGA)?
Malagasy Ariary (MGA)
The Malagasy Ariary is subdivided into 5 iraimbilanja, although the iraimbilanja is rarely used in practice. The currency is issued by the Central Bank of Madagascar, which regulates its supply and maintains monetary stability in the economy. The symbol for the Malagasy Ariary is 'Ar', and it is often denoted with the ISO code MGA.
Coins are available in denominations of 1, 5, 10, 20, 50, and 100 ariary, while banknotes come in larger denominations of 1,000, 2,000, 5,000, 10,000, 20,000, and 50,000 ariary. The design of the currency often features iconic images representing Madagascar's rich biodiversity and cultural heritage, including lemurs, the baobab tree, and historical figures.
Due to economic factors, the Malagasy Ariary has experienced significant fluctuations in value, which has affected its purchasing power and stability. As a result, inflation has been a concern, and the government has implemented various policies to counteract these economic challenges. The exchange rate of the Malagasy Ariary against major currencies like the US dollar and the euro is closely monitored by both the government and foreign investors.
In daily transactions, the Malagasy Ariary is used widely in local markets, shops, and service industries, making it essential for both residents and tourists. Despite its challenges, the currency plays a crucial role in facilitating trade and commerce within Madagascar. The importance of the Malagasy Ariary extends beyond mere transactions; it is also a symbol of national identity and pride for the people of Madagascar.