Bank al-Maghrib urges Moroccan banks to withhold dividends during the coronavirus crisis

Bank al-Maghrib, Morocco’s central bank, has urged banks to retain dividends for this year to better face the coronavirus crisis, Reuters reports.

An official source at Bank al-Maghrib confirmed the request to Reuters, adding that banks were asked to «withhold payments to shareholders».

The request is part of the measures recommended by the central bank to help companies and individuals navigate the economic impact of the health crisis. Earlier in March, Morocco’s central bank asked banks to defer payments on loans.

For the record, Morocco’s economy is expected to lose $3 billion in the first half of 2020 because of the coronavirus crisis. It is also expected to fall by 6.8% in the second quarter of the same year.