Casablanca – Morocco has introduced a new reduction in the fees associated with domestic bank card payments, as the country seeks to make electronic transactions more affordable and encourage their wider use among businesses and consumers. From October 1, the maximum interchange fee applied to domestic card payments has fallen from 0.65% to 0.50%, excluding taxes.

A lower ceiling of 0.15% has also been introduced for selected transactions involving government services and neighborhood businesses. The changes are part of a broader reform of Morocco’s electronic payment market that combines lower regulated fees with the opening of merchant acquiring services to several operators.

The latest reduction comes less than two years after the previous 0.65% ceiling was introduced in October 2024. The successive measures are intended to address the cost of accepting card payments while supporting the expansion of electronic transactions in an economy where cash remains widely used.

Interchange is one component of the fees generated when a consumer pays by card. It is the amount transferred between the merchant’s acquiring institution and the institution that issued the customer’s card. The interchange fee is therefore different from the complete commission a merchant may pay for accepting electronic payments.

Under the new framework, the 0.50% ceiling applies to domestic card transactions, while the preferential 0.15% ceiling targets government electronic payments and qualifying neighborhood commerce. The special rate covers transactions linked to government services, including certain payments for administrative services and other official transactions.

The regulatory framework also prevents merchants from directly passing acquisition commissions on to customers as an additional charge for paying by card. Payment institutions are required to provide merchants with information about applicable fees in their contracts, while payment conditions must be clearly communicated at points of sale.

The reduction in interchange fees is taking place at the same time as a structural change in Morocco’s card payment market. For many years, the Centre Monétique Interbancaire played the dominant role in merchant card acquiring. The market is now moving toward a multi-acquirer structure, allowing several banks and licensed payment institutions to compete in providing acquiring services to merchants.

The transition represents a shift away from a model centered on a single major acquiring operator. Under the new structure, payment institutions and banking subsidiaries can develop their own offers, giving merchants greater choice when selecting providers.

The restructuring began taking shape in 2024, with new operators subsequently entering the market. Commercial activities by new acquiring providers started in 2025, while the existing merchant portfolio was progressively transferred as part of the transition.

The CMI has also been repositioned within the new structure, with greater emphasis on its role as a technical payment-processing platform rather than as the dominant provider of acquiring services. The objective is to provide infrastructure that can be used by different operators while maintaining common standards for security and reliability.

The opening of the market has already contributed to a wider range of commercial offers for merchants. Competition among acquiring institutions has also placed pressure on acquisition commissions, creating conditions for businesses to compare different payment services and pricing arrangements.

The new 0.50% ceiling is particularly relevant in this context. Although it does not necessarily translate into an equivalent reduction in the total amount every merchant pays for accepting cards, it limits one component of the cost structure. The final price charged to a business can also depend on the contract it has with its payment provider and on other services linked to electronic payment acceptance.

The 0.15% ceiling for neighborhood commerce represents a more targeted measure. Small shops and local businesses can face several barriers when adopting electronic payment systems, including the cost of terminals, connectivity and payment-related services. Lowering the interchange component for these transactions is intended to make card acceptance more attractive to smaller merchants.

The measure covering government payments has a similar digitalization objective. As more public services become accessible through online channels, electronic payment options can facilitate the payment of administrative fees and other government-related charges.

The wider objective is to increase the role of electronic payments in everyday economic activity. Greater card acceptance gives consumers an alternative to cash, while businesses can offer additional payment options to their customers. Digital transactions can also create electronic records of payments and facilitate financial services linked to formal banking channels.

However, lower fees alone are unlikely to eliminate Morocco’s strong dependence on cash. Cash remains deeply established in everyday commercial activity, particularly among small businesses and informal economic activities. Currency in circulation has continued to represent a significant share of the country’s monetary system, with cash holdings reaching around $52.9 billion at the end of 2025.

The persistence of cash reflects several factors. Consumer habits, the structure of neighborhood commerce, the size of the informal economy and the availability of payment infrastructure all influence how quickly electronic transactions can expand.

For some merchants, the decision to accept cards involves more than the interchange fee. The cost of acquiring and maintaining a payment terminal, telecommunications expenses, account management and other service charges can affect the overall economics of electronic payment acceptance.

The development of the multi-acquirer market could therefore become an important factor in determining how quickly businesses adopt card payments. Competition between providers may encourage them to offer different pricing models, technical solutions and services adapted to the needs of individual merchants.

Small retailers could benefit if providers develop lower-cost solutions specifically designed for businesses with relatively small transaction volumes. Larger merchants, meanwhile, may have greater opportunities to negotiate services and select providers according to transaction volumes, technical requirements and payment channels.

For consumers, the immediate effect of the interchange reduction is less direct because the fee primarily concerns relationships between payment institutions and merchants. The longer-term impact could come from wider acceptance of cards, greater availability of electronic payment options and increased competition between providers.

The reform is also taking place as Morocco continues to expand digital services across the banking and public sectors. The development of electronic payments requires reliable infrastructure, secure transaction processing and effective oversight. Maintaining consumer confidence will depend on the ability of payment providers to ensure secure and uninterrupted transactions as usage increases.

The shift toward a multi-acquirer model also gives regulators a new role in monitoring competition and market conditions. As more operators enter the sector, the authorities will need to ensure that competition develops under transparent conditions while maintaining standards for payment security and service continuity.

The October 1 reform therefore combines two separate but connected changes: a reduction in regulated interchange fees and a broader restructuring of the market serving merchants. The general ceiling has fallen to 0.50%, while qualifying neighborhood businesses and government payments benefit from the lower 0.15% rate.

For Morocco, the next stage will depend on how these measures translate into actual behavior. Lower costs can remove one barrier to electronic payment adoption, while increased competition can give merchants more choices. At the same time, the continued importance of cash means that changes in payment habits will depend on a wider combination of affordability, infrastructure, accessibility, consumer preferences and confidence in digital transactions.

The reform marks another step in Morocco’s effort to expand electronic payments, but the pace of the transition will ultimately depend on how businesses, consumers and payment providers respond to the new market conditions.