Moroccan Dirham Holds Steady Against Euro and Dollar as Foreign Reserves Rise

During this period, no auction operation was carried out on the foreign exchange market, BAM indicates, while specifying that as of January 22, 2021, the outstanding amount of official reserve assets stood at 309.6 billion dirhams (MMDH), up 0.2% from the previous week and 23.6% year-on-year.

BAM reports that an amount of 28.4 MMDH was injected, including 39.6 MMDH in the form of 7-day advances on call for tenders and 15.5 MMDH in the form of repurchase agreements during the same period. Similarly, 26.7 MMDH and 4 MMDH were injected respectively under the TPME financing support program and for foreign exchange swap operations. The overall outstanding amount of Bank Al-Maghrib’s interventions stands at 74.6 billion dirhams.

In the interbank market, the average daily trading volume stood at 6.2 billion. As for the interbank rate, it averaged 1.5%. At the tender on January 27 (value date January 28), the central bank injected an amount of 25.7 billion dirhams in the form of 7-day advances.

On the stock market, the MASI appreciated by 1.6%, thus bringing its underperformance since the beginning of the year to 3.6%. This development is explained by the increases in the sectoral indices of "Telecommunications" and "Building and Construction Materials" of 2.3% each and "Banks" of 1.4%.

As for the overall trading volume, it amounted to 708.4 million dirhams against 604.4 million the previous week. On the central equity market, the average daily volume reached 134.8 million after 113.6 million dirhams the previous week.