Dirham to euro exchange rate: Keys to protecting your business

Many Moroccan companies buy products in Europe or receive payments in euros. In these cases, knowing how many euros you can get for your dirhams can make a big difference to your margins. A small change in the price can cause you to earn less than expected or pay more to your supplier. Knowing the exchange rate and how to manage it allows you to anticipate and make better decisions.

A quick and secure way to do this is through thanX, a digital solution designed for Moroccan companies that operate with foreign currencies. With thanX, you can check the exchange rate in real time, convert dirhams to euros without any paperwork, and have full control over every transaction.

In Morocco, the dirham exchange rate is neither free nor completely fixed. Bank Al-Maghrib uses a formula based on a basket of currencies:

• 60% euro
• 40% dollar

This means that the value of the dirham shifts mainly according to what happens with the euro. The central bank publishes an official rate daily and allows the real value to fluctuate within a margin of ±5%.

Here's an example: If the euro rises in the markets, the dirham weakens and you get fewer euros for your MAD. If the euro falls, you can get more euros when you convert your dirhams.

The exact figure changes each day, but as a practical example:

• 1 EUR = 10.70 MAD
• 100 MAD ≈ 9.35 EUR

This rate is updated every business day and you can check it on the Bank Al-Maghrib website or on specialised digital platforms.

International economy

• If the eurozone is facing a crisis, the euro may fall and the MAD would strengthen against it.
• If the dollar rises significantly (and drags the euro down with it), the dirham may weaken.

Foreign exchange flows

• More tourism, remittances, or exports bring euros into the country and strengthen the MAD.
• High imports or capital flight can put downward pressure on the dirham.

Central bank decisions

• Bank Al-Maghrib can intervene if the dirham moves too much within its band.
• You can also use your foreign currency reserves to stabilise the situation.

Use currency hedging products

Some banks offer forward contracts to set the exchange rate at which you will trade for 30, 60 or 90 days. This way, you are protected if the euro falls against the MAD.

Keep accounts in euros

If you have income and expenses in euros, you can avoid constantly converting to dirhams. This is called “natural cover” and it reduces your exposure to changes.

Negotiate in the currency that suits you best

If you buy from European suppliers but your income is in MAD, try to negotiate the price in dirhams so that your supplier assumes the exchange rate risk.

Plan your payments and collections

If you see that the euro is strengthening, you might want to bring a payment forward. Or, If the MAD is appreciating, it's best to wait before exchanging your euros.

thanX is a digital solution created for Moroccan companies that operate internationally. With thanX, you can:

• Check the exchange rate in real time before each transaction.
• Get euros for your dirhams without paperwork or visiting a branch.
• Enjoy specialised support and regulatory compliance.
• Integrate easily with PortNet and your bank.

A modern and secure option to have total control over your currency exchange.