The Decline of Bank Liquidity Deficit Due to Tax Amnesty

Average Bank Liquidity Deficit Drops by 8.26%

The average bank liquidity deficit decreased by 8.26% to reach 136.8 billion dirhams (MAD) during the period from January 16 to 22, benefiting from the positive impact of the tax amnesty, according to BMCE Capital Global Research (BKGR). This improvement coincides with a reduction in the 7-day advances from Bank Al-Maghrib (BAM), which fell by 2.32 billion MAD, settling at 57.4 billion MAD, as reported by BKGR in its weekly note titled “Fixed Income Weekly.”

In parallel, Treasury placements have decreased, showing a maximum daily outstanding amount of 12.3 billion MAD, compared to 29.4 billion MAD during the previous period. The weighted average rate has remained stable at 2.5%, while the MONIA (the benchmark overnight money market index) has dropped to 2.464%.

Looking ahead, BKGR anticipates a slowdown in BAM’s intervention pace in the money market, with estimated 7-day advances projected at 55.1 billion MAD.