Casablanca – The landscape of electronic payments in Morocco is undergoing a transformative shift, marked by recent decisions from Bank Al-Maghrib (BAM) and the Interbank Electronic Banking Center (CMI). In a bold move to enhance competitiveness and accessibility in the sector, CMI announced a substantial reduction in its commissions on local card payments for over 55,000 merchants, effective October 1, 2024. This decision aligns with Bank Al-Maghrib’s new regulation that caps the domestic interchange fee at 0.65%, a strategic step aimed at fostering a more vibrant electronic payment ecosystem.
This initiative reflects CMI’s commitment to supporting affiliated merchants by providing more advantageous pricing conditions while simultaneously promoting the growth of electronic payment adoption in Morocco. By implementing these changes, CMI aims to empower merchants with lower transaction costs, enabling them to better compete in an increasingly digital marketplace. Rachid Saihi, the General Manager of CMI, emphasized that this reduction will not only benefit merchants but will also bolster investments in payment infrastructure, leading to more innovative and competitive solutions.
The regulatory adjustments come at a crucial time, as Bank Al-Maghrib intensifies efforts to modernize the payment landscape in Morocco. The central bank’s recent reforms are inspired by international best practices and local experiences, focusing on improving financial service access, particularly in rural areas. The new regulations promise to enhance payment account limits, improve risk management, and eliminate caps on international money transfers received digitally.
Furthermore, these changes aim to dismantle the monopoly that CMI previously held, which accounted for over 97% of the market share in electronic payments. Following a complaint from NAPS SA (Independent financial operator in Morocco specializing in secure electronic payment means and services) about anti-competitive practices, Bank Al-Maghrib launched an investigation, revealing significant barriers to market development. According to findings from the Competition Council, only 1% of payments in Morocco were being made electronically, highlighting the urgent need for reform in a country facing rising cash circulation.
With the new guidelines, CMI is poised to enhance its service offerings while ensuring that merchants do not pass on commission fees to customers, thereby protecting consumers from increased costs. The prohibition of imposing minimum payment amounts for card transactions further safeguards the interests of buyers and encourages the use of electronic payment methods.
As Morocco embraces these changes, the future of electronic payments looks promising. The collaboration between Bank Al-Maghrib and CMI signals a robust commitment to financial inclusion and the growth of a competitive electronic payments market. This transformative phase aims to provide a more accessible and efficient payment experience for merchants and consumers alike, paving the way for a thriving digital economy in Morocco.