The growth of participatory financing for housing, particularly in the form of “Mourabaha immobilière,” has continued its upward trend, reaching 22.8 billion dirhams (MMDH) by the end of May 2024. This marks a significant increase from the 20 billion dirhams recorded a year earlier, according to Bank Al-Maghrib (BAM).

This 13.7% rise in participatory financing compared to May 2023 is highlighted in BAM’s latest “Credits – Bank Deposits” dashboard.

The report also reveals that loans to households have seen an annual increase of 0.9%, primarily driven by a 1.5% rise in housing loans and a 0.9% increase in consumer credit.

Additionally, BAM notes that access to bank financing in the first quarter of 2024 was considered “normal” by 66% of industrialists, while 30% found it “difficult.”

Regarding the interest rates applied to new loans, there has been a decline to 5.38% in the first quarter of 2024. The rates stood at 5.16% for large enterprises and 5.85% for small and medium-sized enterprises (SMEs).

This robust growth in Islamic financing underscores the increasing preference for Sharia-compliant financial products among Moroccan consumers. With continued expansion in participatory financing and favorable loan rates, the financial landscape for real estate and consumer credit in Morocco is poised for further development.