Analysts at Attijari Global Research (AGR) said in their weekly note "Weekly MAD Insights - Currencies" that the foreign exchange position has crossed the threshold of 5 billion dirhams (MMDH). Also, the note advises investors to continue hedging their foreign currency position.

MAD/USD volatility levels are favorable for hedging. This is revealed by the AGR's "Weekly MAD Insights - Currencies". This document advises investors to continue hedging their foreign currency position, given the depreciation of the dirham against the dollar initiated since the beginning of January 2021. Because the current levels of volatility of the dirham, combined with an expected catch-up of import flows, remain favorable to optional hedging strategies, say analysts at AGR.
Similarly, the foreign exchange position crossed the threshold of 5 billion dirhams (MMDH) and stood on average at 5.4 billion dirhams against 5.9 billion dirhams a week earlier. In this context, the depreciation of the dirham against the dollar, observed since the beginning of 2021, continues. The USD/MAD parity reached 8.96 with an increase of 0.28%. The AGR insists on the scenario of depreciation of the dirham against the dollar and the euro on horizons for the next 3 months. On the other hand, the EUR/MAD parity is expected to reach 11.01, 11.02 and 11.05 at 1, 2 and 3 months respectively, against a current level of 10.87.