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

MAD/USD volatility levels are favorable for hedging. This is what AGR's “Weekly MAD Insights - Currencies” reveals. This document advises investors to continue hedging their foreign currency positions, given the movement of the dirhams to depreciate against the dollar that began at the beginning of January 2021. Because, the current volatility levels of the Dirham, combined with the expected catch-up of import flows, remain favourable to optional hedging strategies, say AGR analysts.
Similarly, the foreign exchange position crossed the 5 billion dirhams (MDH) threshold downwards and averaged 5.4 billion dirhams compared to 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 the depreciation of the Dirham against the dollar and the euro with 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, compared to a current level