The North African nation of Morocco is taking steps to regulate the cryptocurrency sector, according to Abdellatif Jouahri, the governor of Bank Al-Maghrib. In a recent speech at an international conference in Rabat, Jouahri announced that the central bank has drafted regulations for cryptoassets, with the support of the World Bank.
This move comes after Morocco had previously banned cryptocurrencies in 2017. Jouahri did not provide specific details about the new regulations but emphasized that the draft law is currently in the adoption process. The aim is to create a legal framework that will govern the use of cryptoassets within the country.
In addition to regulating cryptocurrencies, Morocco is also exploring the potential benefits of central bank digital currencies (CBDCs). These digital tokens, issued by central banks, have the potential to enhance financial inclusion and contribute to the country’s policy objectives. Morocco initiated its CBDC project three years ago, although Jouahri did not disclose many details about the progress of this initiative.
Jouahri stressed that implementing CBDCs is a long-term endeavor that requires consideration of various factors, including the national socioeconomic context, regional and international dynamics, and the impact on the central bank’s monetary policy and financial stability objectives.
The move to regulate cryptocurrencies and explore CBDCs aligns with the trend in other African countries. For example, South Africa has implemented a licensing regime for crypto firms, while Nigeria has taken an enforcement-based approach, as seen in its actions against the Binance exchange and compliance chief Tigran Gambaryan.
Overall, Morocco’s efforts to regulate the crypto sector and explore CBDCs demonstrate the country’s commitment to staying abreast of global financial trends and leveraging digital innovations to advance its economic goals. As these initiatives progress, they have the potential to shape the future of the financial landscape in Morocco and contribute to the country’s overall economic development.