RABAT, Aug. 7 (Xinhua) -- Morocco's foreign exchange reserves stood at 21.54 billion U.S. dollars by the end of July, shrinking by 15.4 percent compared to the same period last year, Morocco's Central Bank said on Monday.
The drop in Morocco's foreign exchange reserves comes as the country moves to gradually float Dirham.
The bank announced earlier that the first step to float the currency would start in July, but the Moroccan government decided to delay the move, saying studies are being carried out to ensure enough time for the decision to take effect.
Currently, the Dirham is fixed via a peg that is 60 percent weighted to the euro and 40 percent to the U.S. dollar.
The first stage will ease that peg to allow the currency to trade in a narrow range, which will expand gradually over a few years.
The International Monetary Fund (IMF) has encouraged Morocco to take the decision, underlining that a more flexible exchange regime will strengthen the competitiveness of the Moroccan economy and its resilience against external shocks. Enditem
