Moroccan Dirham Strengthens Against Euro, Slips Versus Dollar in Early 2020

The year has started well for the Moroccan currency. The dirham appreciated by 0.41% against the euro and depreciated by 0.21% against the dollar during the period from January 2 to 8, 2020. The foreign exchange market did not see any auction operations during this period, Bank Al-Maghrib (BAM) indicates in a note on its weekly indicators.

As for the net international reserves, they stood at 245.5 billion dirhams (MMDH) as of January 3, up 0.5% from the previous week and 6.9% year-on-year.

Regarding interventions in the money market, BAM injected, during the same period, a total amount of 62 MMDH in the form of 7-day advances on call for tenders. Taking into account the amounts of 2.3 billion granted under the TPME financing support program, and 4.2 billion served in the form of foreign exchange swaps, the total volume of interventions amounted to 68.5 MMDH, the same note specifies.

The interbank rate averaged 2.25% and the daily trading volume was 3.1 MMDH during the same period. The MASI is showing a clear progression, with a rate of 0.4%.