Are you planning a trip to Morocco? One of the most common questions travelers have is about dealing with money. This article provides essential information on how to obtain and use the local currency, the Moroccan Dirham (MAD), ensuring a smoother and more cost-effective experience. Knowing basic information about its currency will offer some inspiration for your Morocco vacation, as it is a cash-dominated country.
In my experience, little is more frustrating than when money situations don’t meet expectations. This article is written to help you understand how to obtain local currency in Morocco, the Moroccan Dirham.
Moroccan Dirham Banknotes
Understanding the Moroccan Dirham (MAD)
The official currency of the Kingdom of Morocco is the dirham (MAD). You may see it referred to as “dh” when written in English. The image on the bank notes is the current monarch, King Mohamed VI. The international code for the Moroccan dirham is MAD. The currency is split into smaller units called santim. You may see it written as MAD, د.م., or dh.
Moroccan Dirham as a Closed Currency
The Moroccan Dirham (MAD or DH) is a closed currency, which means that you can only obtain it while physically inside the country. You will not be able to obtain the money from your local bank in your passport country, or while in a foreign airport on your way to Morocco; only once you are in Morocco. Additionally, you are only permitted to take a certain amount of Moroccan Dirham with you outside of the country. This is a relatively small amount (around $200 USD), and you will be asked upon your departure how many Dirhams you are carrying with you.
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You cannot bring Moroccan currency into or out of the country. Knowing about the mad currency helps you use money in Morocco. It also helps you avoid scams and travel easily.
Where to Get Moroccan Dirhams
When you get to Morocco, you need Moroccan dirham for spending. You cannot get dirham in the UK or most other countries. The dirham is a closed currency. You can only buy it after you arrive in Morocco.
ATMs
ATMs are widely available throughout Morocco, and they typically have the best exchange rates. Even when paying a fee from your own bank for an overseas withdrawal plus ATM provider fees, it is usually more cost effective to use an ATM than to exchange money.
There is no shortage of ATMs in Morocco, as most banks will have at least one on their premises. Some credit/debit cards require a travel notification, so make sure you set this travel notification accordingly, which commonly can be done online. When using the ATM in Morocco, you will be given options in multiple languages, with English being one of them.
Always use an ATM machine that is attached to a bank. That way on the rare event that the machine sucks your card in, you can go into the bank to retrieve it by showing your passport. If a free-standing machine were to suck your card in, who knows how long it would take for you to get it back.
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ATM Tips
- When scrolling through the options on the machine, there are a few things to keep in mind. First, the machine will offer to provide the currency conversion for you. I always decline, because my debit card provides me a much better exchange rate; my experience is that the ATM gives me an exchange rate that is very close to the official rate.
- Second, a “Current Account” is the equivalent of a checking account. For Americans, we are not familiar with the term “Current” account.
- Third, the amount of money you can withdraw per transaction, per day, and per bank varies. When I first arrived in Morocco, I only tried to withdraw 2,000 MAD per transaction, and I was able to withdraw three times from the same machine for a daily total of 6,000 MAD. Since then I have successfully withdrawn 8,000 MAD in a single transaction, although only at Attijariwafa Bank.
Most machines will charge a fee, which is somewhere between 30-35 MAD per transaction. (We have been told an exception is Poste Maroc - Al Barid Bank, which does not charge a transaction fee.) Your local bank may charge additional fees for currency conversion. We use Charles Schwab Bank, which graciously reimburses all ATM fees at the end of the month. If you are planning to move to Morocco from the United States, then consider opening an account with Schwab (we do not receive a commission for stating this).
Currency Exchange Bureaus (Bureaux de Change)
If you bring foreign currency into the country, you can exchange it at a number of Change Bureaus. The first place you will see one is at the airport when you arrive in Morocco. At the kiosk, you will find a board listing the exchange rates for various currencies. Make sure to read any signs that indicate commissions and fees for exchanging your money (this is where my wife and I lost a lot of money exchanging money in Italy). You will be always be asked to provide identification when exchanging cash at an exchange bureau, usually in the form of a passport.
In general, you will want newer bills with less markings (pen marks, tears, etc). For US bills, a representative at a local Change Bureau told me that no bills prior to the 2005 Series are accepted (at least at their branch). Something to keep in mind is that you will not receive the rates listed on the board. Recently I exchanged money at a local Bureau, and while the exchange rate listed outside was 8.92 MAD = 1USD, the rate I received was 8.74 MAD. I do not believe they were doing anything shady; the price listed outside was the official exchange rate, and rather than charge a commission, they make money by exchanging at a lower rate.
Banks
You can also exchange cash at a bank. The exchange process is identical to a Bureau de Change. On the same day that I exchanged money at the Bureau, I checked with a local bank to see how the rate compared. Whereas the Bureau gave me 8.74 MAD, the bank’s rate was 8.69 MAD. This is on a day when the official exchange rate was listed online as 8.92 MAD. The employee said that the rate would vary depending on the bank I visited.
Tips for Using Money in Morocco
When you visit Morocco, you will notice that cash is the main way people pay for things. Over 70% of transactions use cash, while credit and debit cards make up less than 30%. You will need cash for markets, taxis, and small shops. Larger hotels and restaurants often accept cards, but you should always ask first.
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The souks, restaurants, cafes, shops, etc. don’t typically have small change on hand.
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Market in Morocco
Cash vs. Card
Cards are accepted at the airport, and sometimes in high-end establishments. However, for the most part, Morocco is a cash country. You will get a much better deal if you pay in the local currency.
Tipping and Bargaining
Tipping, called 'baksheesh,' is common in Morocco. People tip in restaurants, hotels, taxis, and even for street performers. Carry small dirham coins for tips.
You will find that haggling is normal in Moroccan markets. Start with a low offer, usually less than half the asking price. Most deals end at about 70% of the first price. Stay polite and patient. Sellers may use emotional tactics, but you should keep calm and friendly.
Exchange Rates
The value of the Moroccan dirham changes every day. The rate depends on where you exchange and on the market. Bureaux de Change in city centers usually have the best rates. Airports and hotels often have higher fees or worse rates.
What About Euros or Dollars?
I’m not sure where the people who have spread this erroneous information are shopping, but it’s rare to find anyone who will accept USD or Euro. The other exception I’ve heard of is that if you are making a large purchase such as fine artwork or a carpet, you may be able to talk the seller into accepting your USD or Euro. But, I can’t imagine why you would want to!
Yes, you can pay in euro in Morocco if you don't have Moroccan currency on you. Hotels, souks and most tourist attractions accept payment in euro. The exchange rate can be unfavorable, though, because the euro will be converted at the discretion of the seller (with a margin for the storekeeper), and change will be given in Moroccan dirhams. So you'll lose a little money in these transactions most of the time.
Fees and Commissions
Be sure to find out whether your card issuer charges foreign-transaction fees. Foreign transaction fees are usually somewhere between 2% and 3%, which adds up overtime.
If you choose to exchange money at the airport, you’ll be charged a higher currency exchange rate than elsewhere. Oftentimes, you’ll pay around $5 to $15 at an airport kiosk just for the convenience. If you are set on exchanging money, it’s better to wait until you meet up with your Open Doors Local Host just outside the door of the airport.
The notes that appear to have been in a dog fight are not readily accepted. Canadian, Australian, and New Zealand dollars are not accepted for exchange in Morocco. If you are set on bringing cash in for exchanging, you will need to bring USD, EUR, or GBP.
Spending Money in Morocco
Travel costs in Morocco depend on how you travel. Food, transport, and places to stay can be cheap. Bargaining and tipping are normal here.
Local restaurants and food stalls cost less than tourist spots. In a local restaurant, you can expect to pay about 60 to 200 dirhams for two people. Meals at food stalls in Jemaa el-Fnaa start at 20 to 50 dirhams. Mid-range restaurants charge 100 to 250 dirhams per person. Fine dining can cost up to 1,000 dirhams for two.
Additional Tips
- Take Photos of Your Cards: Take a photo of the fronts and backs of credit, debit, and insurance cards and then place the photos in the cloud where you can access them in case of an emergency.
- Activate Fraud Alerts: Activate fraud alerts for any accounts that offer the service so that you are notified immediately of suspicious activity. This tip isn’t just for traveling, it’s a wise step even at home.
Exchange Rates of Major Foreign Currencies Against the Moroccan Dirham (MAD)
The following table shows the exchange rates of major foreign currencies against the Moroccan dirham (MAD), including the US dollar (USD), British pound (GBP), Australian dollar (AUD), euro (EUR), Canadian dollar (CAD), and New Zealand dollar (NZD). Please note that the exchange rate may fluctuate depending on the location and time, so it is recommended to check it in real time.
| Currency | Exchange Rate (Approximate) |
|---|---|
| US Dollar (USD) | Varies (Check Real-Time) |
| British Pound (GBP) | Varies (Check Real-Time) |
| Australian Dollar (AUD) | Varies (Check Real-Time) |
| Euro (EUR) | Varies (Check Real-Time) |
| Canadian Dollar (CAD) | Varies (Check Real-Time) |
| New Zealand Dollar (NZD) | Varies (Check Real-Time) |
With these tips, you'll be well-prepared to handle your finances and enjoy your Moroccan adventure to the fullest!
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