The Moroccan dirham experienced a depreciation of 2.95% against the US dollar and 1.47% against the euro during the period from October 1 to 7, 2026, according to the weekly bulletin of Bank Al-Maghrib (BAM), the country's central bank. This development is significant as it reflects the dirham's fluctuating value in the foreign exchange market. No adjudication operations were carried out on the exchange market during this period.
The official reserve assets stood at 515.7 billion dirhams (MMDH) as of October 2, 2026, marking a 1.8% increase from the previous week and a 23% rise compared to the same period last year. This uptick in reserve assets indicates a positive trend in Morocco's foreign exchange reserves. The central bank's interventions during this period totaled 155.1 MMDH on a daily average.
The interventions of BAM were distributed across various operations, including 7-day advances worth 59.7 MMDH, longer-term pensions amounting to 44.9 MMDH, and guaranteed loans totaling 50.7 MMDH. These operations reflect the central bank's efforts to manage liquidity in the financial system. On the interbank market, the daily average volume of exchanges was 3.4 MMDH, with an interbank rate of 2.25%.
During the tender on October 7, 2026, the central bank injected 52.6 MMDH in the form of 7-day advances. This injection aims to ensure sufficient liquidity in the banking system. Meanwhile, the Moroccan stock market, as measured by the MASI index, declined by 4.2% during the period from October 1 to 7, 2026. This drop brings the index's performance since the beginning of the year to -9.8%.
The decline in the stock market was widespread, affecting all sectors. Notable decreases were observed in the construction and building materials index (-4.7%), the mining index (-5.9%), the banking index (-1.9%), the transportation services index (-5.3%), and the real estate participation and promotion index (-9.1%). These declines reflect a challenging environment for various sectors of the economy.
The volume of transactions on the stock market decreased from 1.9 MMDH to 1.1 MMDH week-over-week, primarily on the central market. This reduction in trading volume suggests a cautious approach by investors amid market volatility. The performance of the dirham and the stock market are critical indicators of Morocco's economic health and investor confidence.
The trends in the dirham's value and the stock market's performance are closely watched by investors, policymakers, and analysts. These indicators can influence economic decisions, from investment strategies to monetary policy adjustments. As Morocco continues to navigate its economic landscape, developments in the foreign exchange and stock markets will remain significant areas of focus.
Key points
- The dirham depreciated by 2.95% against the US dollar from October 1-7, 2026.
- Official reserve assets increased by 23% year-over-year as of October 2, 2026.
- The MASI stock index declined by 4.2% during the period from October 1 to 7, 2026.
