Morocco opens digital payment market, ends CMI’s near-monopoly

Morocco has officially dismantled the near-monopoly held by le Centre Monétique Interbancaire (CMI) over electronic payment terminals,marking a major shift in the country’s digital economy and financial sector.

The reform,which took effect on May 1,2025,allows banks,fintech firms,and independent payment providers to directly offer point-of-sale (POS) services to merchants,a role previously dominated by the CMI,which controlled more than 97% of the market.

“This is a watershed moment for Morocco’s financial ecosystem,” Rachid El Fakir,a monetary policy analyst,told le360. “Opening the market will drive innovation,reduce costs,and expand access to digital financial services.”

The move follows a 2023 ruling by Morocco’s Competition Council,which found that CMI’s dominant position was stifling competition and innovation. Under the new framework,the CMI will be restructured into a neutral infrastructure provider,responsible for processing transactions but no longer the sole operator of payment terminals.

Six new operators,including subsidiaries of major Moroccan banks such as Attijariwafa Bank,CIH Bank,and Bank of Africa,are preparing to enter the market. They are currently integrating their systems with the CMI’s platform,with full operational rollout expected by November 1,2025.

As part of the transition,the CMI will transfer approximately 55,000 merchant contracts and 65,000 payment terminals to the new providers,ensuring continuity of service while fostering competition.

The reform is part of Morocco’s broader strategy to modernize its financial infrastructure,reduce reliance on cash,and combat the informal economy. Authorities hope the liberalization will also improve financial inclusion,particularly for small businesses and rural communities.

The liberalization digital payment market is expected to accelerate Morocco’s transition to a cashless economy,a key objective in its national digital strategy.