Moroccan Dirham Strengthens Against Euro, Weakens vs Dollar in September

In its monthly review of the economic, monetary and financial situation, Bank Al-Maghrib reported that no auction session has been held with banks since April 2018.

However, there has been an intensification of foreign exchange transactions against the dirham, which averaged 22.5 billion dirhams (MMDH) in July 2019, an increase of 11.5 MMDH compared to the same period the previous year.

Furthermore, the volumes of transactions by banks with customers stand at 24.6 MMDH, particularly with regard to spot purchases and 11.9 MMDH for term purchases. Last year, these volumes were respectively 22.9 MMDH and 11.4 MMDH.

According to MAP, these are all conditions that justify the negative rate shown by the net foreign exchange position of banks (difference between banks’ foreign currency claims and liabilities), which stands at 6.8 MMDH at the end of July, after -6.3 MMDH at the end of June.

Note that this Friday, October 18, one US dollar is worth 9.616 dirhams, while one euro is exchanged at 10.687 dirhams.