Instruction n° 2017-01 relative à la monnaie électronique (Instruction No. 2017-01 on Electronic Money) (Djibouti)

Instruction No. 2017-01 of the Banque Centrale de Djibouti (BCD) governs electronic money and electronic money issuers (établissements de monnaie électronique, EME) in Djibouti. It defines the role of electronic money issuers as establishments authorised by the central bank to issue electronic money and store the associated data, and sets the prudential and supervisory framework for the sector, the legal basis for digital financial services such as the Djibouti Telecom-backed D-Money offering. Scope and applicability: the Instruction applies to establishments that issue electronic money in Djibouti. Such establishments must be approved or authorised by the BCD before providing services related to the issuance of electronic money and the storage of data. Core obligations: authorised EMEs must respect the prudential requirements defined by the BCD in the exercise of their activities. The central bank's supervision is directed at three objectives, ensuring that EMEs detect and manage their risks properly, verifying compliance with the regulations, and ensuring EMEs prepare crisis-management procedures. In practice this entails safeguarding of customer funds backing the e-money issued, sound governance and internal control, risk-management and business-continuity arrangements, transaction security, consumer protection and AML/CFT compliance, together with reporting to the BCD. Supervision and enforcement: the BCD authorises and supervises EMEs, monitors their risk management and regulatory compliance, and may require remedial action or impose measures for non-compliance. As Djibouti's core fintech instrument, Instruction No. 2017-01 brings the country's nascent electronic money and mobile-payments sector within a supervised prudential framework, supporting financial inclusion for the unbanked, including merchants previously outside the formal banking system.

1. 1Requires BCD approval/authorisation to operate as an electronic money issuer (EME) and to issue e-money and store related data
2. 2Defines the role of electronic money issuers and the scope of permitted e-money activities
3. 3EMEs must respect BCD-defined prudential requirements
4. 4Supervision targets three objectives: proper risk detection/management, regulatory compliance, and crisis-management preparedness
5. 5Safeguarding of customer funds, governance, internal control, transaction security, consumer protection and AML/CFT
6. 6BCD authorises, supervises and may require remedial measures for non-compliance