Morocco’s Central Bank aims to purchase excess foreign exchange on the local market.
To absorb the surplus, Morocco’s central bank
announced that it will begin buying hard currency from the local exchange market on Monday.
In a statement, the Moroccan Central Bank stated that it will conduct currency tenders with the goal of absorbing the current surplus and ensuring the proper functioning of the exchange market.
Depending on the evolution of local exchange market conditions, the Central Bank will hold tenders for the purchase of surplus foreign exchange on a regular basis – as needed.
Remittances from Moroccans residing abroad, which are one of Morocco’s key sources of hard currency inflows, surged by 45.6 percent last year, hitting 54 billion dirhams (6 billion dollars).
This helped to compensate for some of the losses in the tourism industry caused by COVID-19 regulations.
Morocco got $1.2 billion from the International Monetary Fund on August 23, with the goal of bolstering the country’s hard currency reserves.
Morocco’s foreign exchange reserves at the end of August totaled 313 billion dirhams ($34.7 billion), enough to finance 7 months’ worth of imports.
Reuters and the Anadolu Agency contributed to this report.