Key facts
- Private sector credit in Morocco grew by 5.3% year-on-year in April.
- This represents the fastest pace of expansion for corporate lending since mid-2023.
- Public sector borrowing saw a significant increase due to local government financing demands.
- The rapid credit creation supports the view that Bank Al-Maghrib will keep interest rates unchanged.
In April, Morocco's private sector experienced a notable acceleration in credit growth, reaching 5.3% year-on-year. This marks the most robust expansion in corporate lending observed since the middle of the previous year. Concurrently, borrowing by the public sector surged, primarily driven by increased demand for local government financing. This robust credit creation across both private and public sectors reinforces the prevailing expectation that Bank Al-Maghrib, the nation's central bank, will maintain its current monetary policy stance and keep interest rates steady for an extended period.