Doha – Bank Al-Maghrib (BAM) announced today the launch of an interbank forward market for foreign exchange swaps and overnight index swaps (OIS) linked to MONIA (Moroccan Overnight Index Average), set to begin operations on February 19.

The initiative is part of BAM’s broader strategy to deepen the foreign exchange market, which began in 2018.

According to the central bank’s press release, this new market will provide economic operators with “a transparent and reliable reference for their hedging operations against interest rate and exchange rate risks.”

The market introduces two key financial instruments. The first is the foreign exchange swap, which BAM describes as “a transaction whereby two parties agree to exchange one currency for another and then proceed with an opposite exchange at a later date.”

This instrument combines a spot foreign exchange transaction with a forward transaction, allowing market participants to manage their foreign exchange risk exposure while benefiting from enhanced flexibility and cost predictability.