INTERNATIONAL HIGHLIGHTS
The USD/MAD pair depreciated this week by -1.31% to 9.88 from 10.01 a week earlier, a 12-month low.
This evolution is explained by a double effect (basket and liquidity) in favor of the Dirham. The basket effect
stands at -0.43% in line with the depreciation of the dollar this week and the liquidity effect stands at -0.88% thanks to the improvement in supply and demand conditions.
The downtrend in MAD liquidity spreads continues through a drop from -89 BPS to +0.11%. With an almost null spread, the value of the dirham is close to that of its reference basket. This trend should be supported by workers’ remittances during the summer period.
We recommend that exporters hedge on horizons over the summer period. Indeed, the MAD should appreciate
by benefiting from the liquidity effect during this period.
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