Morocco explores digital currency for domestic and cross-border use

Morocco’s central bank is studying the use of a digital currency for peer-to-peer and cross-border payments, Governor Abdellatif Jouahri said Monday.

The bank is working with the IMF and the World Bank to evaluate the potential effects of a central bank digital currency, or CBDC, on the country’s payment systems.

Speaking at a conference in Rabat, Jouahri said the Moroccan central bank is also collaborating with Egypt’s central bank and the World Bank to explore how the CBDC could be used for cross-border transfers.

Unlike cryptocurrencies, which are decentralized, a CBDC is issued and controlled by a central bank. Morocco banned the use of cryptocurrencies in 2017, but underground usage continues.

Jouahri also said a draft law on crypto assets is under review by the finance ministry and will soon begin the adoption process.