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Moroccan Dirham Drops against Euro, Rises against Dollar

Moroccan Dirham Drops against Euro, Rises against Dollar

Sunday, 2 August, 2020 - 06:30
A general view of the Central Bank of Morocco in Rabat, Morocco. (Reuters)
Rabat - Asharq Al-Awsat

Bank Al-Maghrib (BAM) reported the drop of the dirham by 0.41 percent against the euro and the its rise by 1.02 percent against the US dollar between July 23-29.

In its latest bulletin of weekly indicators, BAM revealed that no bidding process was carried out on the foreign exchange market, noting that as of July 24, official reserves stood at MAD293 billion (USD29.3 billion) – an increase of 25.2 percent year-on-year.

BAM injected MAD118.9 billion (USD11.8 billion), including MAD40 billion (USD4 billion) in the form of seven-day advances, on calls for tenders, MAD44 billion (USD4.4 billion) in the form of repurchase transactions, MAD31.8 billion (USD3.18 billion) under the program to support the financing of the TPME, and MAD3 billion (USD300 million) for foreign exchange swap operations.

On the interbank market, the daily volume of exchanges stood at MAD5.4 billion (USD540 million) and the interbank rate stood at 1.5 percent on average.

Moreover, the Morocco Stock Market MASI posted a rise of 0.1 percent, taking its underperformance since the start of the year to 16 percent. This change reflects, in particular, the increases in sector indices for banks and insurance by 2.8 percent and 1.7 percent, respectively.

Conversely, the indices of the building and construction materials, and telecommunications sectors fell by 2.3 percent and 1.1 percent respectively.

As for the overall volume of trade, it amounted to MAD429.4 million (USD42.9 million) compared to MAD272.5 million (USD27.2 million) a week earlier. On the central equity market, the average daily volume reached MAD85.7 million (USD8.5 million) against MAD46.8 million (USD4.6 million) a week earlier.

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