No Rush for Dollars in Morocco as Looser Peg Boosts Currency

  • Morocco widens band, sets dirham reference rate 0.2% stronger
  • Currency reform aims to lure investors, boost competitiveness
A selection of Moroccan 20, 50, 100 and 200 Dirham notes, which are legal tender in Morocco.Photographer: Mark Williamson/Stockbyte
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It finally happened: Morocco eased its grip on the dirham. But there was no stampede for dollars and the currency strengthened.

Bank al-Maghrib set the reference rate at 9.2184 per dollar, 0.2 percent stronger than Friday’s, even after the central bank widened the dirham fluctuation band to 2.5 percent above or below its peg.