The Treasury carried out an "unusual" buyback operation of treasury bills (BDT) in the amount of 5.6 billion dirhams (MMDH) during the last auction session of 2020, mainly on the compartment short term, notes Attijari Global Research (AGR).

"Given the surplus situation of public finances and the massive recourse of the Treasury during the period which preceded the exit of the Eurobond of $3 billion, the treasurer of the State carried out a reverse operation on the market for the auctions of BDT “, explains AGR in its latest weekly note “Weekly Hebdo Rates”. This operation will have a double impact on the Treasury's indebtedness indicators. On the one hand, this redeemed amount will have to be entirely deducted from the net raising of the Treasury in 2020. On the other hand, this redemption should reduce the falls of the Treasury in 2021 and in 2022, notes the note.

Indeed, the overall gross raisings of the Treasury remain unchanged at 129.5 billion dirhams in 2020, thus satisfying 40% of the overall demand from investors at 330.3 billion dirhams, while the net debt of the Treasury in 2020 on the domestic market is stood at 46.8 billion dirhams, bringing the outstanding domestic debt of the Treasury to 633 billion dirhams at the end of 2020, an increase of 8% during the 2019-2020 period.

In addition, the amount redeemed will mainly impact Treasury repayments in 2021. Indeed, more than 77% of the redemption relates to Treasury repayments in 2021, the remaining 23% relate to the year 2022. In the end, the yield curve secondary experienced a general slide during this week. To this end, the 13-week and 52-week maturities lost 2 PBS each, while the 5-year maturity fell by 17 PBS.