Madagascar offers a low-cost residency by investment program through company creation, providing a legal right to live and conduct business. This pathway leads to temporary and potentially permanent residency.
Citizenship Pathways
Residency by Investment (Company Creation)
Cost: €3,999 (approx. $4,300) for 1-year permit
Timeline: 0.3 years
Presence Required: Initial presence for setup and appointments, low ongoing presence
Madagascar offers a relatively low-cost residency by investment program that requires setting up a local company. This pathway provides a legal right to live and conduct business in the country, with options for both temporary and permanent residency.
Step-by-Step Process
Residency by Investment (Company Creation)
: Consult with local legal counsel and prepare a business plan for company registration.
— 2-4 weeks — €500 - €1,500 (legal fees)
: Register the company in Madagascar and open a local bank account.
— 4-8 weeks — €1,000 - €2,000 (registration fees, initial capital)
: Submit residency application with all required documents to the Economic Development Board of Madagascar (EDBM).
— 1-2 weeks — €3,999 (residency permit fee)
: Attend interviews and fulfill any additional requests from immigration authorities.
— Ongoing during processing — Varies (travel, accommodation)
: Receive 1-year temporary residency permit upon approval.
— 2-3 months (after submission) — Included in permit fee
Pros & Cons
Advantages
Low initial investment cost for residency
Minimal physical presence required
Pathway to permanent residency
Access to African markets
Low cost of living
Challenges
Economic and political instability
Poor infrastructure and public services
Bureaucracy and corruption challenges
Limited international travel with passport
Requirements
Passport copy — Valid passport with at least 6 months validity
Criminal record check — From country of origin and any country resided in for over 1 year
Business plan — Detailed plan for the company to be established in Madagascar
Proof of funds — Bank statements showing sufficient capital for investment and living
Company registration documents — Articles of incorporation, business license, tax registration
Tax System
System: territorial
Madagascar operates on a territorial tax system. Residents are taxed on income sourced within Madagascar, while foreign-sourced income is generally not taxed.
Frequently Asked Questions
Can I bring my family?
Yes, dependents can be included in the residency application.
Is citizenship possible?
Citizenship by naturalization is possible after 5 years of legal residency, subject to specific criteria.
What is the minimum investment?
The minimum investment for company creation is approximately €3,999 for the 1-year permit.