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Rabat – Banking deposits in Morocco surged to MAD 1.1 trillion ($110.9 billion) at the end of November 2023, marking a 3.9% year-on-year increase, says a new report by the country’s central bank, Bank Al-Maghrib (BAM).
According to the BAM report, household deposits played a significant role in this uptick, soaring to MAD 850 billion ($85.7 billion), reflecting a robust 4.8% annual growth rate.
Moroccans residing abroad hold a significant share of deposits in banking institutions in the country, with MAD 203.3 billion ($20.4 billion).
Likewise, deposits from private sector entities also jumped by an annual rate of 5.8% to hit MAD 192.5 billion ($19.4 billion) by the end of November.
The report further detailed that interest rates on deposits have fluctuated over the first 11 months of 2023. The 12-month term deposit rate saw a dip of 23 basis points, settling at 2.65%, while the 6-month deposit rate decreased by 7 basis points to stand at 2.37%.
There has been a significant policy shift on savings accounts, the BAM report explained, noting that the minimum interest rate for these accounts has been set at 2.98% since the latter half of 2023.
The adjustment reflected a substantial 147 basis point hike from the previous semester, which is usually viewed as a sign that banks are attempting to incentivize savings among customers.
Read Also: Moroccan Household Deposits Rose by 4.9% Yearly in September
