(MENAFN) The World Bank’s vice president for Middle East and North Africa, Inger Andersen, announced that the bank implemented a USD1 billion currency-swap deal for Morocco to support the country’s currency risk management strategy, reported Xinhua News.
Andersen said that the transaction will allow the North African country to handle its exposure to the US dollar from a recent bond issuance.
He added that the deal will enable Morocco to evade and protect its investment and development programs from fluctuations between the US dollar and the euro.
It is worth noting that Morocco, which boosted social expenditure and subsidies on food and energy to USD6.14 billion from USD3 billion in 2010, posted a record budget deficit of 6.1 percent of gross domestic product (GDP) in 2011.
