Moroccan Dirham Strengthens Against Euro, Weakens vs Dollar as Reserves Dip

During this period, no auction operation was carried out on the foreign exchange market, Bank Al-Maghrib (BAM) indicates, while specifying that as of July 08, 2022, the outstanding official reserve assets stood at 325.4 billion dirhams (MMDH), down 0.6% from the previous week and up 7.9% year-on-year.

The central bank reports that an amount of 107.5 MMDH was injected, including 45.3 MMDH in the form of 7-day advances on call for tenders and 37.6 MMDH in the form of repurchase agreements, during the same period. Similarly, 23.7 MMDH and 900 million dirhams (MDH) were injected respectively under the MSME financing support programs and for foreign exchange swap operations.

On the interbank market, the average daily trading volume stood at 2.6 MMDH. As for the interbank rate, it averaged 1.5%. At the call for tenders on July 13 (value date July 14), the central bank injected 52.1 MMDH in the form of 7-day advances.

On the stock market, the MASI appreciated by 1.4%, reducing its underperformance since the beginning of the year to 11.7%. This weekly change is explained by the increases in the indices of the agri-food sector by 4.2%, telecommunications by 1.7% and banks by 1.4%. Conversely, those of the insurance and distribution sectors decreased by 0.8% and 2.4% respectively.

As for the overall trading volume, it amounted to 448.6 MDH against 651.3 MDH the previous week. Regarding the average daily volume on the central equity market, it stood at 74.8 MDH after 121.9 MDH the previous week.