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Rabat– Morocco’s central bank, Bank Al-Maghrib (BAM), reported a rise in banks’ weekly liquidity requirements. The demand reached an average of a MAD 138.8 billion ($13.6 billion) in October 2024, up from MAD 135.5 billion ($ 13.5 billion) in September, according to the central bank’s latest economic and financial review.
In response to this increase, BAM raised its total liquidity injections to 150.3 billion dirhams. These included MAD 61.6 billion ($6.1 billion) in 7-day advances, MAD 51.9 billion ($5.1 billion) through 1- and 3-month repo operations, and MAD 36.9 billion (3.6 billion) allocated for long-term refinancing through guaranteed loans.
The interbank market saw an average daily trading volume of MAD 3 billion ($294 million) in October, with the weighted average rate settling at 2.75%. Meanwhile, yields on Treasury bonds experienced a slight decline across both the primary and secondary markets.
On the deposit front, September saw a rise in the 6-month deposit rate, which increased by 19 basis points to 2.92%, while the 1-year deposit rate remained relatively stable at 2.52%.
In terms of lending, BAM’s third-quarter survey of banks revealed a 22 basis point drop in the overall average lending rate, which fell to 5.21%.
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Sector-specific lending rates showed varied trends. Rates for business loans decreased by 25 basis points to 5.12%, with cash facilities dropping 32 basis points to 5.06%. Meanwhile, rates for real estate development loans held steady at 5.68%, while equipment financing rates rose by 25 basis points to 5.24%.
When broken down by business size, large enterprises saw a reduction of 20 basis points to 5.14%, while very small, small, and medium-sized enterprises (VSMEs) experienced a slight increase of 6 basis points to 5.74%.
For individual loans, rates remained largely unchanged at 5.91%. Housing loan rates decreased by 3 basis points to 4.76%, while consumer loan rates saw a modest increase of 3 basis points to 7.06%.
