The Bank Al-Maghrib (Arabic: بنك المغرب, lit. 'Bank of Morocco') is the central bank of the Kingdom of Morocco. It was founded in 1959 as the successor to the State Bank of Morocco (est. 1907). Bank Al-Maghrib (BAM) is a public legal entity endowed with financial autonomy.
Its primary responsibilities include issuing the Moroccan dirham, implementing monetary policy to ensure price stability, supervising the banking sector, managing foreign exchange reserves, and ensuring the stability and security of payment systems. Bank Al-Maghrib plays a crucial role in Morocco's economic development and financial stability, advising the government on financial and monetary matters.
Bank Al-Maghrib Headquarters in Rabat
Historical Development
In 1958, the Moroccan government commenced negotiations with France and the State Bank of Morocco to reclaim for itself the right to issue money. Decree n° 1.59.233 of 30 June 1959 created the Banque du Maroc, which took over the issuance of money the next day, and replaced the State Bank of Morocco. In October, the Banque du Maroc issued a new currency, the Moroccan dirham.
The Banking Act of 21 April 1967 enhanced the role of "Banque du Maroc", particularly in the field of banking supervision. In March 1987, the bank adopted the name Bank Al-Maghrib. A new banking act in July 1993 created a unified regulatory framework for all credit institutions in Morocco. This act strengthened the Bank Al-Maghrib in its role of regulating and supervising credit institutions.
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In 2006, Law No.76-03, promulgated by Dahir No. 1-05-38 of 20th Chaoual 1426 (23 November 2005) repealed Dahir No. 1-59-233 of 23rd Hija 1378 (30 June 1959), which had created Bank Al-Maghrib. The new law reinforced Bank Al-Maghrib's independence in terms of monetary policy, and provided a legal basis for its responsibility for the payment system. The new law established the bank as a public legal entity, controlled by the account commissioner, the government commissioner, and the Court of Accounts.
On 15 November 2022, Bank Al-Maghrib and the Office des Changes, the country's foreign trade institution, signed a partnership agreement.
Bank Al-Maghrib's Headquarters and Operations
Headquarters Function
The headquarters serves as the primary administrative and operational center for Bank Al-Maghrib, housing its governing bodies, key departments for monetary policy, banking supervision, currency issuance, and international relations.
The headquarters building in Rabat is a modern architectural landmark, known for its imposing facade and state-of-the-art facilities, reflecting the bank's importance and stability. It includes high-security areas for currency operations and data centers.
The work culture at Bank Al-Maghrib's headquarters is typically formal, professional, and mission-driven, characterized by a strong emphasis on precision, integrity, and public service. Employees are often highly qualified economists, financial analysts, and regulatory experts.
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The headquarters is of paramount significance as it is where critical decisions affecting Morocco's economy are made, including setting interest rates, managing inflation, and ensuring the health of the financial sector. It symbolizes the nation's monetary sovereignty.
The headquarters' design and operations reflect values such as stability, authority, transparency, security, and national pride.
Other Locations
Bank Al-Maghrib primarily operates within Morocco but maintains a significant international presence through its active participation in global financial institutions such as the International Monetary Fund (IMF), World Bank, Bank for International Settlements (BIS), and the Arab Monetary Fund. It manages Morocco's foreign exchange reserves, engages in correspondent banking relationships with other central and commercial banks worldwide, and collaborates on international regulatory standards and financial stability initiatives. Its global engagement supports Morocco's integration into the world economy and ensures alignment with international best practices.
Here are some of the other locations where Bank Al-Maghrib operates:
- Casablanca, Morocco
Address: Boulevard de Paris, Casablanca
Purpose: To support the significant volume of financial and commercial activities in Casablanca, ensuring liquidity and operational efficiency for banks and businesses. - Marrakech, Morocco
Address: Avenue Mohammed V, Gueliz, Marrakech
Purpose: Facilitate financial operations, manage currency circulation, and support economic development in a vital tourist and agricultural region. - Tangier, Morocco
Address: Boulevard Pasteur, Tangier
Purpose: To support the dynamic economic activity in northern Morocco, driven by international trade, industry, and logistics. - Fes, Morocco
Address: Avenue Hassan II, Fes
Purpose: To ensure the provision of central banking services, manage cash flow, and support the local banking network in this historically and culturally rich region.
Key People
As of April 2025, Bank Al-Maghrib' leadership includes:
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- Abdellatif Jouahri - Wali (Governor)
- Abderrahim Bouazza - Directeur Général (Director General)
- Mohammed El Alaoui El Abbassi - Secrétaire Général (Secretary General)
- Hicham Zanati Serghini - Directeur de la Supervision Bancaire (Director of Banking Supervision)
- Mounir Razki - Directeur des Opérations Monétaires et de Change (Director of Monetary and Foreign Exchange Operations)
Financial Stability and Reserves
In 2008 Bank Al-Maghrib held reserves of foreign currency with an estimated worth of US$36 billion. In addition to currency management, the Bank Al-Maghrib also supervises a number of private banks supplying commercial banking services.
The Role of Central Banks In Maintaining Economic Stability
Commitment to Sustainable Finance
Bank Al-Maghrib has demonstrated its commitment to sustainable finance by establishing a Green Finance Unit (GFU), signaling its intent to address climate risks and promote green finance across the financial sector.
The challenge it faces is the integration of green finance principles into a traditionally risk-averse banking system while addressing climate risks that threaten financial stability.
The Green Finance Unit (GFU), launched within the banking supervision department, plays a pivotal role in advancing the country's National Roadmap for Aligning the Financial Sector on Sustainable Development, published in 2016. The roadmap focuses on five key areas: governance of environmental risks, development of sustainable financial products, financial inclusion, capacity building, and enhancing transparency.
The GFU works closely with national and international stakeholders to promote green finance instruments like green and sustainability-linked loans and foster climate-related risks management in the banking sector. The GFU also contributes to international work on inclusive green finance promoting central banks green finance policies targeting underserved communities while contributing to broader climate resilience efforts within the financial sector.
The GFU has been instrumental in establishing the regulatory framework to promote green finance instruments, such as green loans, positioning Morocco as a leader in the African continent. Despite progress, the funds raised through these instruments remain a small fraction compared to other emerging markets.
One of the key takeaways is the lack of internationally recognized standards to measure progress in green finance, which hinders investment and makes it difficult to assess the effectiveness of green initiatives. Developing concrete green standards with measurable outcomes is critical for scaling investment in sustainable finance.
Digital Currency Initiatives
Bank Al-Maghrib is actively working on the development of a central bank digital currency (CBDC), often referred to as the digital dirham. Recent updates suggest ongoing research and pilot programs to explore its feasibility and potential benefits for the Moroccan economy, including enhancing financial inclusion and payment efficiency.
Museum
The museum, located in the bank's headquarters, has an important numismatic collection, spanning from different civilizations of Antiquity to the present day.
| Bank Al-Maghrib | Details |
|---|---|
| Founded | 1959 |
| Headquarters | Rabat, Morocco |
| Total Employees | 1305 |
| Functions | Currency issuance, monetary policy, banking supervision, foreign exchange management, payment system stability |
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