Moroccan Dirham Strengthens Against Euro and Dollar in July

Good end of June for the dirham! Thus, in the 6th month of the year, the Moroccan currency appreciated by 0.78% against the European currency, and by 0.09% against the US dollar.

This surge is justified by the implementation of the new flexible dirham regime. This has allowed local banks to be self-sufficient in obtaining foreign currency, instead of resorting to the central bank. In this regard, no foreign exchange transaction has been carried out since June, notes the BAM Conjuncture Note.

Furthermore, the volume of foreign exchange transactions against the dirham stood, on average, at 22.6 billion dirhams in June 2019, at the banking level, justifying an increase of 12.1 billion more than last year.

The volumes of bank transactions with their customers stood at 25.7 billion dirhams for spot purchases. As for forward purchases, they stood at 14.2 billion against 24.2 billion and 9.2 billion, respectively, in June 2018.

For spot sales, they amounted to 22.1 billion, as opposed to 2 billion for forward sales, after 21.5 billion and 2.4 billion. With this result, the net foreign exchange position of the banks is negative. It stands at 6.3 billion dirhams at the end of June, after a positive position of 1.8 billion at the end of May.