Bank Al-Maghrib Holds Interest Rate at 2.25 Percent Amid Economic Slowdown Forecasts
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New informationRepeats or wire copies
What happened
Bank Al-Maghrib announced its decision to keep the benchmark interest rate unchanged at 2.25 percent following its third quarterly meeting of 2026. The central bank stated that this decision was based on the high level of uncertainty surrounding the economic outlook. Bank Al-Maghrib projected economic growth would slow from 4.9 percent in 2025 to 4.4 percent in 2026, and further to 2.9 percent in 2027. The bank also projected inflation would reach 0.7 percent for the full year 2026, before rising to 1.5 percent in 2027, while the budget account deficit was expected to narrow to 3.5 percent of GDP in 2026.
Why it matters
The central bank's projections indicate a slowdown in the national economy and a shift in inflation targets. The bank stated it would continue to closely monitor domestic and external conditions when basing future policy decisions on available data.
Who's involved
- MoroccoSovereign state whose economic policy is managed by the central bank.
- Bank Al-MaghribCentral bank responsible for managing monetary and economic policy for Morocco.
- bankFinancial institution that accepts deposits and is subject to central bank policy.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- bankSpeculative
The financial institution might face changes in lending risk and the cost of capital due to the central bank's policy shifts.
Keep exploring
The entities involved
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Morocco
sovereign state in North Africa
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Bank Al-Maghrib
the central bank of Morocco, founded in 1959
Nothing else this week.
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