Morocco Central Bank Takes Measures to Limit COVID-19’s Economic Impacts

Morocco Central Bank

Morocco’s central bank has announced a series of measures to increase three-fold the financial capabilities of banks to enable them to counter the impact of the COVID-19 disease on the local economy.

In a statement issued Tuesday, Bank al-Maghrib said it would allow banks to resort to all available refinancing means in Moroccan dirhams or hard currencies.

The Bank will extend the deadlines for refinancing. In addition to expanding its range of bonds and securities, said the statement.

The Bank also announced the enhancement of its program to refinance SMEs. This is by merging operational loans, in addition to investment loans, and increasing the frequency of refinancing.

Bank al-Maghrib added that it has taken a number of measures to keep pace with credit agencies. It also hopes it will enhance their ability to support households and enterprises during these exceptional circumstances.

Moroccan banks will start implementing the measures taken by the “Economic Vigilance Committee”; such as postponing loan installments without additional fees or fines until the end of June. Besides, financing companies, the payment of wages, and the acquisition of raw materials.

As of Tuesday, there were 33 deaths out of 574 declared coronavirus cases in Morocco.