Morocco’s central bank governor, Abdellatif Jouahri, revealed Tuesday at a conference in Rabat that Bank Al-Maghrib, the country’s central bank, is advancing plans to regulate cryptocurrencies. He stated:

Bank Al-Maghrib, with the participation of all stakeholders and the support of the World Bank, has prepared a draft law regulating cryptoassets, which is currently in the adoption process.

Discussing digital currency innovation, Jouahri explained that Morocco’s central bank is exploring the development of a central bank digital currency (CBDC). The initiative involves studying international CBDC models to evaluate their potential benefits. He detailed: “Regarding central bank digital currencies, and like many countries around the world, we are exploring to what extent this new form of currency could contribute to achieving certain public policy objectives, particularly in terms of financial inclusion.”

He further shared: “We launched the CBDC project more than three years ago with the aim of anticipating and guiding the strategic choices and decisions of Bank Al-Maghrib in this area. The project also seeks to strengthen our capacity and expertise on this complex and multidimensional issue.”

Morocco has approached cryptocurrency regulation cautiously. In 2017, the Moroccan Exchange Office, a government agency overseeing foreign exchange, international trade, and related financial activities, classified virtual currency transactions as violations of exchange regulations, subjecting individuals to penalties. Bank Al-Maghrib, in collaboration with the Ministry of Economy and Finance and the Moroccan Capital Markets Authority, issued warnings against virtual currencies, highlighting concerns about consumer protection and potential links to illicit activities.

Despite the official ban, cryptocurrency usage has continued to expand within the country. This rising interest among the population has prompted authorities to reassess their stance. In December 2022, Bank Al-Maghrib announced it had finalized a draft regulatory framework for cryptocurrencies, signaling a move toward managing risks while encouraging innovation. Bank Al-Maghrib’s chief said at the time: “For cryptocurrencies, I can assure you that the project is ready. We worked with the World Bank and the consultant to make it happen. The different chapters are completed. Now we are engaged in the discussion with the different stakeholders. It is long, but necessary to allow everyone to adhere to this project.”