The USD/MAD increased by +0.75% from 9.81 to 9.88.The Dollar thus appreciated for the 2nd consecutive week to reach a high since the end of last June.

This evolution is due to a negative basket effect of -0.28% offset by a significant positive liquidity effect of +1.03%. Liquidity spreads are thus back in positive territory after foreign currency importers have started hedging their transactions with attractive levels of the USD/MAD parity.

Despite this increase, these spreads should continue to fall during the month of August, supported by workers’ remittances during the summer period.

Given the summer period, we anticipate an appreciation of the MAD on a very ST horizon. The liquidity of the
dirham should be supported by the continued good momentum of workers’ remittances .
We recommend that exporters hedge over a one-month horizon.

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