The Moroccan Dirham (MAD) is the legal tender of Morocco in North Africa. It denotes MAD in Forex. The Bank Maghrib, which is Morocco’s central bank, controls the issuing and circulation of the Moroccan dirham. It is subdivided into 100 centimes or cents, and a unit is called Santim. People use the dirham for all domestic transactions, from everyday purchases to large investments. The word dirham is coined from the name of ancient Greek currency known as drachma. Before 1882, Morocco used copper falus, silver dirhams, and gold benduqui. In 1882, it adopted a modern currency system with mazuna, dirham, and rial. Under French protection in 1912, the Moroccan franc became the national currency. The dirham was reintroduced in 1960.

Brief History of the Moroccan Dirham (MAD)

The Dirham has a long history, dating back to the Islamic Golden Age. The modern Moroccan Dirham was introduced in 1960, replacing the Moroccan Franc. This transition marked a significant step in Morocco’s economic development.

Denominations of the Moroccan Dirham 

MAD is available in various denominations:

• Coins: 1, 5, 10, and 20 dirhams.
• Banknotes: 20, 50, 100, and 200 dirhams.

Exchange Rate of the Moroccan Dirham (MAD)

The exchange rate of the Moroccan Dirham fluctuates based on various economic factors, including global market trends and domestic economic policies. 

Popular exchange rate of the Moroccan Dirham

Moroccan Dirham = 0.09346 Euros

1 MAD = 0.09346 EUR

Moroccan Dirham = 0.10179 Us Dollars

1 MAD = 0.10179 USD

Moroccan Dirham = 0.0785 British Pounds

1 MAD = 0.10179 USD

Economy of the Morocco

The Moroccan economy, while diverse, is heavily reliant on agriculture, tourism, and the export of phosphates. The Dirham’s stability is crucial to maintaining economic growth and attracting foreign investment.

Key Economic Factors Affecting the Dirham:

1. Tourism: Morocco’s rich cultural heritage and stunning landscapes attract millions of tourists annually. Tourism revenue significantly impacts the Dirham’s value.
2. Phosphate Exports: Morocco is a major exporter of phosphate, a key ingredient in fertilisers. Fluctuations in global phosphate prices can affect the Dirham’s exchange rate.
3. Remittances: Moroccans working abroad send remittances back home, which contribute to the country’s foreign exchange reserves and can positively impact the dirham.
4. Government Policies: The Moroccan government’s monetary and fiscal policies play a significant role in managing the dirham’s value and controlling inflation.

Conclusion

The Moroccan dirham is an integral part of Morocco’s economic landscape.