The Moroccan Economy in Brief: Friday, August 12, 2022

Money market: bank liquidity gap widens:

The bank liquidity gap widened to 98.6 billion dirhams at the end of the period from 4 to 10 August, up from 93.7 billion dirhams a week earlier, according to BMCE Capital Global Research (BKGR). The 7-day advances increased from 3.94 billion dirhams to 42.28 billion dirhams, says BKGR in its weekly note "Fixed Income Weekly". As regards Treasury investments, they are down as indicated by the maximum daily outstanding amount of 4.05 billion dirhams on August 04, compared with a maximum daily outstanding amount of 5.05 billion dirhams during the previous period, notes the note.

Morocco: ¾ of 15-24 year olds excluded from the labor market:


The vast majority of young people aged 15 to 24 in Morocco are outside the labor market. Of the 5.9 million young people in this age category, only 16.3% are employed (962,000), while 7.6% are looking for work (448,000). The rest, 76.1%, are outside the labor market. They represent a population of 4,478,000 people according to the HCP. Three quarters of young people outside the labor market (75.5%) are pupils or students and 21.1% are housewives, underlines the HCP. Young people are characterized by low participation in working life with an activity rate of 23.9% compared to the population as a whole where this rate reaches 45.3%.

Insurance: Over 210 billion dirhams in investments in 2021:


Investments by insurance companies in asset value rose 7.7% to 210.3 billion dirhams in 2021, according to the 9th Annual Report on Financial Stability, published by Bank Al-Maghrib (BAM), the French Insurance and Social Security Supervisory Authority (ACAPS) and the Moroccan Capital Market Authority . These investments reached 221.3 billion, including exclusive reinsurers, an increase of 7.5% compared to 2020, the report notes. Investments allocated to insurance operations rose by 7.1% to 185.7 billion dirhams, while free investments rose by 12.4% to 24.6 billion dirhams.

Tangier: 63 million dirhams for the conversion of the old wholesale market


A budget of 63 million dirhams will be devoted to financing the rehabilitation project of the former wholesale fruit and vegetable market in the city of Tangier, with a view to converting it into a regional space for exhibitions and the arts. This project was the subject of a partnership agreement for the mobilization of this sum thanks to the contribution of the signatories: the Council of the region of Tangier-Tetouan-Al Hoceima (30 million dirhams), the Municipality of Tangier ( 30 million dirhams) and the Agency for the Promotion and Development of the North (3 million dirhams) .

Banks: Nearly 85 billion dirhams in outstanding claims in 2021:


The total amount of outstanding bank claims reached nearly 85 billion dirhams in 2021, up 6.7%. The pace of growth in these loans has decelerated after a 14% increase in 2020, according to the 9th Annual Report on Financial Stability, published by Bank Al-Maghrib (BAM), the Autorité de Contrôle des Assurances et de la Prévoyance Sociale (ACAPS) and the Moroccan Capital Market Authority .This slowdown affected both loans to households and to non-financial enterprises. It would be linked to the recovery of economic activity, says the report.