The interbank market remains balanced with interbank rates in line with the key rate during the period from 23 to 26 August, a few weeks before the next Bank Al-Maghrib (BAM) monetary policy meeting, says Attijari Global Research (AGR).

This balance is accompanied, however, by a decline in the MONIA index (Moroccan Overnight Index Average, calculated on the basis of repo transactions collateralized by Treasury bills) of 3 basis points (bps) in one week to 1.4%, notes AGR in its recent note “Weekly Hebdo Taux – Fixed income”.

This index has reached its lowest since June 2021 at 1.38%, according to the same source, which adds that BAM, playing its role as regulator, has slightly reduced this week its interventions through its main operations to 39 billion dirhams.

In addition, the Central Bank’s long-term interventions, in the form of secured loans, repurchase agreements and foreign exchange swaps, increased in one week from 4.8 billion dirhams to 58.6 billion dirhams, of which 2.8 billion dirhams in the form of secured loans. Thus, two new lines were created for a cumulative amount of MAD 4.4 bln and another one of MAD 1.5 bln expired.

The Treasury increased the level of average investments of its cash surpluses on the money market by 2.3 billion dirhams in one week.