Mohammedia – The dirham posted a modest rise against the world’s two main currencies this past week, extending the steady trend seen since early autumn.
According to Bank Al‑Maghrib (BAM), the national currency gained 0.4% against the US dollar and 0.3% vis-à-vis the euro, a movement that unfolded without any intervention from the Central Bank or the foreign exchange market.
Behind this calm week on the currency front, BAM’s latest indicators show reserves continuing to strengthen.
Official reserve assets stood at MAD 432.3 billion ($ 46.6 billion) as of November 14, inching up by 0.1% compared with the previous week and marking a strong annual increase of 19.3%.
Liquidity support to the banking system remained considerable, with the Bank supplying MAD 143.7 billion ($ 15.5 billion) over the period through various instruments, including MAD 68.7 billion ($ 7.4 billion) in seven-day advances, MAD 42.1 billion ($ 4.5 billion) in longer-term repurchase operations, and MAD 32.9 billion ($ 3.6 billion) in guaranteed loans.
On the interbank market, trading slowed noticeably. The average daily volume eased to MAD 3.4 billion ($ 0.37 billion), while the benchmark interbank rate stabilised at 2.25%.
During its 19 November auction (value date November 20), the Central Bank injected an additional MAD 69.6 billion ($ 7.5 billion) in seven-day advances to ensure banks maintained adequate liquidity.
The stock market, however, moved in the opposite direction. The MASI index dropped by 2,5% over the week, reducing – but not erasing – its strong year-to-date performance of 23.2%.
Most sectors closed lower, led by a 5.8% decline in health, followed by mining at –4.6%, construction materials at –3.3%, transport services at –2.1% and banking at –1.3%.
Market activity also thinned significantly. Weekly trading volumes fell to MAD 680.9 million ($ 73 million) from MAD 1.3 billion a week earlier, with the majority of transactions taking place on the central equity market.
