Morocco’s foreign exchange reserves shrink by 2.6 pct in Feb.

RABAT, March 9 (Xinhua) — Morocco’s net international reserves amounted to 23.6 billion U.S. dollars by the end of February, a year-on-year decrease of 2.6 percent, the Central Bank said Saturday.

According to the bank’s statistics, the reserves dropped by 1.5 percent compared to the end of the 2018.

In January 2018, Morocco decided to adopt a more flexible exchange rate, raising the official band of dirham’s fluctuation to 2.5 percent above or below the official rate from the previous 0.3 percent.

The dirham is pegged to a two-currency basket weighted 60 percent to the euro and 40 percent to the U.S. dollar.

The authorities said widening the dirham trading band is part of a broader plan to float the currency, make the economy more resilient against external shocks and help along its growth.