Moroccan Dirham Weakens Against Euro, Strengthens vs Dollar Amid Rising Reserves

During this period, no auction operation was carried out on the foreign exchange market, Bank Al-Maghrib (BAM) specifies in its latest weekly indicators bulletin.

As of August 28, 2020, official reserve assets stood at 296 billion dirhams (MMDH), up 0.6% from the previous week and 25.8% year-on-year.

On the interbank market, the average daily trading volume stood at 4.3 MMDH and the interbank rate averaged 1.5%, the same source notes, adding that in the call for tenders on September 2 (value date September 3), BAM injected an amount of 24.5 MMDH in the form of 7-day advances.

On the stock market, the MASI increased by 0.7% over the same period, thus reducing its underperformance since the beginning of the year to 15.5%.

This development reflects in particular the appreciations of the sector indices of "banks" by 0.5%, "telecommunications" by 1.1% and "distributors" by 2.2%. Conversely, the indices of the "real estate" and "beverages" sectors fell by 1.8% and 3% respectively.