Banking system liquidity in Morocco posted a slight deterioration between Nov. 28 and Dec. 4, but remained fully covered by Bank Al Maghrib through sustained interventions in the money market, according to Attijari Global Research.
In its weekly Fixed Income note, the research firm said the central bank injected a total of 146.8 billion dirhams, up 1.1 billion from the previous week, acting as the main stabilizer of market liquidity.
The increase came exclusively from seven day advances, which rose for a third consecutive week, while longer term operations remained unchanged. Repurchase agreements and secured loans stood at 75 billion dirhams.
Despite the tightening, market rates remained aligned with the policy benchmark. The weighted average interbank rate held at 2.25 percent, in line with the central bank key rate. The Moroccan Overnight Index Average rose by one basis point to 2.23 percent.
At the same time, the Treasury reduced its activity in the money market, completing 10 surplus placements totaling 4.1 billion dirhams, down from 5 billion a week earlier.
AGR said the combination of steady central bank liquidity provision and lower Treasury intervention helped keep short term funding conditions stable during the week, limiting volatility and preserving alignment between market rates and monetary policy targets.
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