Morocco's central bank notes surge in loans this July

Morocco’s banking sector witnessed a notable increase in outstanding credits during June 2023, according to the latest monetary statistics released by Bank Al-Maghrib. The total outstanding credits soared by 26.5 billion MAD compared to the previous month, reaching 1,075 billion MAD with a 2.5% growth.

The surge in credits extended across all economic segments and borrower categories. Specifically, real estate credits saw a 2.1 billion MAD increase within a month, totaling 302.9 billion MAD. On an annual basis, real estate credits showed a growth of 1.9%.

Accounts receivable and treasury credits saw a significant increase of 1.9% in May, reaching 256.6 billion MAD. Compared to June 2022, these outstanding credits rose by 2.8%. However, since the beginning of the year, the outstanding amount has decreased by 7.4 billion MAD.

Equipment credits rose by 2.9% to 187.1 billion MAD compared to the previous month and surged by 8.1% from the same period last year.

Consumer credits showed a slight increase of 0.5% from the previous month, reaching 58.1 billion MAD. Over the past year, consumer credits grew by 1.7%.

Outstanding credits increased across all borrower categories. Credits to households reached 386.7 billion MAD, showing a 0.3% increase from the previous month and a 3% rise from June 2022.

Private enterprises’ outstanding credits amounted to 443.5 billion MAD, reflecting a growth of 0.8% compared to the previous month (3.7 billion MAD increase). Since the beginning of the year, outstanding credits to private enterprises increased by 2.7% (11.6 billion MAD).

The financial sector experienced a significant surge in outstanding credits, rising by 11.9% compared to the previous month, totaling 159.5 billion MAD. Over the past year, outstanding credits to the financial sector increased by 5.6%.

On the other hand, outstanding credits to the public sector decreased by 5.7% to 85.9 billion MAD compared to the previous month. However, on a yearly basis, outstanding credits to the public sector showed remarkable growth of 24.2%.

Non-performing loans amounted to 92.2 billion MAD in June, indicating a 0.8% decrease from the previous month. Nevertheless, over the past year, non-performing loans increased by 5.7% (5 billion MAD).