Housing Finance in Morocco

Overview

This profile is also available in French here. To download a PDF version of the full 2021 Morocco country profile, click here.

Morocco, with its capital Rabat, is a North African country with an estimated 36 910 558 inhabitants. Its currency is the Dirham. This country is stable and hosts many international companies. It is 53rd in the world for the ease of doing business. Although it is very advanced compared to many other African countries, with an average interest rate of 4.41%, the Moroccan housing market has many problems such as the lack of social housing or low value housing. In 2020, the number of beneficiaries of housing loans rose from 67 332 to 63 456 and the gross outstanding amount of financing by banks reached MAD237.7 billion (US$26.6 billion).

In 2020, the growth rate fell by 7% and inflation was 0.7%, achieving its lowest level since 1968 of 0.2%. The country, which had opted for a more flexible exchange rate regime in 2018, began a new stage of its transition on 9 March 2020 with increased ownership of the reform by economic operators and a growing recourse to hedging instruments. Despite a decline of 21.8% in 2020, the Casablanca Stock Exchange, which also participates in the financing of the social housing sector, achieved a net result of MAD15.4 billion (US$1.7 billion).

COVID-19 forced the state to react and provide supportive measures. The central bank lowered its key interest rate by 75 basis points to 1.5%, and released the entire mandatory reserve account to the banks.  It also asked banks to suspend dividend distributions and encouraged them to build up provisions as a precautionary measure. These measures prevented the contraction of credit, which grew by 4%. The average exchange rate was MAD9.65 to the dollar in 2019.

Find out more information on the housing finance sector of Morocco, including key stakeholders, important policies and housing affordability:


Each year, CAHF publishes its Housing Finance in Africa Yearbook. The profile above is from the 2021 edition, which has up-to-date profiles for 55 African countries.

Download yearbook
View more
View more
View more
View more
View more