Morocco’s central bank, Bank Al-Maghrib (BAM), alongside other European central banks is in talks with the International Monetary Fund (IMF), and the World Bank (WB) over establishing a regulatory framework governing cryptocurrencies.
Abdellatif Jouarihi, the wali (governor) of Morocco’s central bank, disclosed the details of the joint framework during a March 23 press conference.
Jouarihi said, according to multiple news reports: “Given the absence of a legal framework governing cryptocurrencies nationally and internationally, we cannot as yet adopt cryptocurrencies.”
The G20, an economy-focused intergovernmental forum, has joined international calls for establishing a legislative framework for crypto and for Central Bank Digital Currencies (CBDC), Jouahri explained.
BAM’s governor further pointed out that adopting cryptocurrencies is a matter of “when” not “if,” according to a report from Unlock Media, a crypto-focused news outlet.
Cryptocurrencies “represent the future,” the banker admitted while pointing out the risk associated with digital currencies.
There are widespread fears of cryptocurrencies being used for money laundering, and cybercrimes, as they are created and managed within a decentralized blockchain, rendering them virtually untraceable, Jouarihi explained.
While Morocco’s central bank does not oppose the adoption of digital currencies, BAM has long stressed the importance of creating proper legislation before any such approval.
In 2021, the Moroccan central bank set up a special committee to study the implications of crypto adoption within Morocco’s economic landscape.
Despite Morocco’s ban on cryptocurrency, the county holds the highest record among Arab countries in crypto ownership, with 2.4% of Morocco’s population, followed by Egypt.
Morocco also tops the list of North African countries in terms of crypto ownership, data suggests.