Money Market: Stability Confirmed Despite Decline in Inflation

Friday 28 - 14:05

The Moroccan money market maintained a generally stable configuration during the week of August 17 to 19, 2026. This period, marked by two public holidays, occurred in a context of a significant slowdown in inflation, which fell to -0.6% year-on-year by the end of July, according to an analysis published by Attijari Global Research (AGR).

Despite this disinflationary environment, the main indicators of the money market showed limited variations, reflecting a certain balance in liquidity conditions.

Interbank Rate Remains Stable

The interbank market experienced moderate activity during this shortened week. The average rate of operations remained at 2.25%, confirming the stability observed in the market.

The MONIA index, which measures the average rate of overnight operations secured by Treasury bills, recorded a slight increase, rising from 2.19% to 2.20%, an increase of one basis point.

This limited evolution demonstrates a market that remains stable, despite adjustments made to Bank Al-Maghrib's intervention instruments.

Bank Al-Maghrib Adjusts Short-Term Advances

During the week of August 17 to 19, Bank Al-Maghrib slightly reduced the volume of its seven-day advances. It stood at 54.2 billion dirhams, down from 55 billion dirhams the previous week, a decrease of 880 million dirhams.

This decrease occurs in a context where the liquidity needs of the banking system remain framed by the regular operations of the central bank.

On the side of other mechanisms, guaranteed loans decreased by about 600 million dirhams to 46.9 billion dirhams. Conversely, reverse repurchase agreements increased by the same amount, reaching 48.5 billion dirhams.

Long-Term Interventions Remain Unchanged

Bank Al-Maghrib's long-term interventions remained stable compared to the previous week, with their outstanding amount maintained at 95.4 billion dirhams.

Overall, the observed developments across different instruments reflect more technical adjustments than a profound change in the orientation of the money market.

For Attijari Global Research, this third week of August thus confirms a balanced situation, while the decline in inflation is an important element of the macroeconomic environment. The stability of the interbank rate and the slight variations in MONIA illustrate a normalization of conditions in the liquidity market.

However, the evolution of inflation and the management of banking liquidity will remain among the main indicators to watch in the coming weeks to anticipate the orientations of the money market and monetary policy.