Morocco Central Bank Advances Digital Currency, Crypto Regulation

Morocco's central bank is actively advancing its sovereign digital currency, the e-Dirham, aiming to modernize the financial system and enhance financial inclusion by enabling secure, efficient peer-to-peer and cross-border payments. Governor Abdellatif Jouahri highlighted ongoing pilot programs and collaborations with the Central Bank of Egypt, the IMF, and the World Bank to develop the legal and regulatory frameworks necessary for full deployment, emphasizing the importance of aligning with global best practices. Despite a longstanding ban on cryptocurrencies since 2017, Morocco is poised to transition toward regulated crypto asset usage, with a draft law finalized to protect consumers, ensure market integrity, and combat fraud, money laundering, and terrorism financing. This legislative shift marks a significant transformation from prohibition to regulation, potentially positioning Morocco as a regional fintech leader and fostering innovation in digital asset solutions and blockchain-based financial services. The move aligns with Morocco’s broader strategy to reduce cash dependence, improve payment systems, and financially empower unbanked populations through inclusive digital finance. Together, these initiatives reflect Morocco’s strategic pivot toward embracing digital currencies while carefully managing associated risks in its evolving financial landscape.