Financial Crime World

MAURITANIA ADOPTS REGULATORY FRAMEWORK FOR ELECTRONIC PAYMENT SERVICES

In a significant step towards achieving inclusive finance in Mauritania, the Mauritanian Parliament has adopted a long-awaited draft law related to electronic payment services. This regulatory framework is expected to expand access to digital financial services and reach more Mauritanians.

Background: Financial Inclusion in Mauritania

According to the 2018 Global Findex, approximately 20 percent of the population beyond 15 years old had financial accounts, while mobile money accounts reached only four percent of adults. The gender gap in financial access was also significant, with women being five percentage points less likely to be served than men.

The Role of the Central Bank of Mauritania (CBM)

The CBM played a crucial role in the adoption of this regulatory framework, working closely with international development partners and local stakeholders. The Policy Accelerator team provided technical assistance and capacity-building support to the CBM throughout the process.

Key Features of the New Regulatory Framework

  • Non-bank licensing: The law allows non-bank actors to become e-money issuers, increasing competition and improving access to financial services.
  • Tiered-KYC (Know Your Customer) requirements: The law sets out clear requirements for customer verification, ensuring that customers are properly identified and verified before using electronic payment services.
  • Consumer protection: The law includes provisions to protect consumers from unfair or deceptive practices, such as unauthorized transactions or hidden fees.

Impact on Financial Inclusion in Mauritania

The adoption of this regulatory framework is expected to have a significant impact on financial inclusion in Mauritania. According to estimates, two million people will be excluded from the formal financial sector, but new actors will be able to provide digital financial services and launch new products to meet their needs.

Conclusion: A Major Milestone Towards Inclusive Finance

The adoption of this regulatory framework is a major milestone towards inclusive finance in Mauritania. It will enable new actors to provide digital financial services, launch new products, and develop strategies for meeting the financial needs of two million people excluded from the formal financial sector.