Fitch : Moroccan banks well-positioned for growth through 2026

Moroccan banks are set to capture «significant growth opportunities» through 2026, thanks to stronger profitability, improved capitalisation, and robust funding and liquidity profiles, according to Fitch Ratings.

In its latest report covering Morocco’s seven largest banks, Fitch noted a 22% rise in aggregate net income in 2024, supported by «strong trading revenues on fixed-income securities, higher net interest income, and good cost discipline», despite increased loan impairment charges.

«Stronger profitability and subordinated debt issuances in recent years have supported capitalisation», Fitch said, giving banks more room to grow after years of operating with «limited capital buffers».

The agency also pointed to potential credit growth driven by major infrastructure projects—estimated to require over $100 billion in financing by 2030—and a possible secondary market for non-performing loans.

With funding «mostly from low-cost customer deposits» and bolstered by 2024’s tax amnesty, Fitch concluded that «adequate funding and liquidity will further support banks’ expansion plans».