Dubai Real Estate Ads Target Moroccans, but Legal Hurdles Pose Risks

In Morocco, Moroccan residents can only carry out foreign currency transactions for specific reasons, such as business travel or public missions. Moroccan authorities still do not allow foreign currency transactions for real estate investment abroad. "According to the General Instruction of the Foreign Exchange Office in Morocco, transactions in foreign currency for Moroccan residents are strictly regulated. The cases where a Moroccan resident, of Moroccan nationality, can carry out foreign currency operations include mainly business travel, public sector missions or internships, personal travel, studies abroad, as well as medical treatment abroad. Real estate investment abroad is not among the authorized operations for individuals without express authorization from the Foreign Exchange Office," explains Abdelbasset Mohandis, Chartered Accountant and Statutory Auditor in an interview with Challenge.

Real estate investment abroad is therefore not authorized for individuals. "The rules concerning investments abroad for Moroccan individuals are governed by the General Instruction of the Foreign Exchange Office," says the chartered accountant, specifying that the main provisions authorize the participation of active Moroccan employees in Moroccan subsidiaries owned 51% or more by foreign companies or the holding of guarantee shares for directors or members of supervisory boards as part of defined investment operations. He also points out that online advertising campaigns on real estate investment in Dubai do not take into account the legal constraints to which Moroccan residents are subject.

The agencies promoting these properties on the internet offer payment methods (cash exchange or even cryptocurrency purchases) not authorized by the Foreign Exchange Office. "Promoters should inquire about the feasibility of these operations before launching their advertisements to avoid misleading people," suggests Mohandis. Moroccan residents wishing to invest must remain informed and possibly consult experts to ensure compliance with the legislation.