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Morocco Sovereign Sukuk: 2025 Report and 2026 Program — Participatory Finance Takes Off

Morocco's first sovereign Sukuk issuance program ended 2025 with undeniable success: 5 billion MAD issued in three successive tranches, average oversubscription of 2.8x, and emergence of a genuine reference curve for the Moroccan participatory finance market. The 2026 program plans to double to 10 billion MAD.

YABy Yasmine El AmraniMay 5, 20265 min read

Three successive tranches subscribed

Morocco's Treasury proceeded in 2025 with three sovereign Sukuk issuances of 'Sukuk Al-Ijara' type (public asset lease-sale structure): 1.5 billion MAD in April, 2 billion in July, and 1.5 billion in November. Respective maturities: 5 years, 7 years and 10 years. All issuances were oversubscribed between 2.4x and 3.1x, demonstrating solid institutional appetite.

Competitive yields vs classic Treasury bonds

Yields obtained were competitive vs classic Treasury Bills (BDT): Sukuk 5-year 3.45% vs BDT 5-year 3.52% (spread -7 bps), Sukuk 7-year 3.65% vs BDT 7-year 3.78% (spread -13 bps), Sukuk 10-year 3.85% vs BDT 10-year 4.05% (spread -20 bps). Negative spread widens with maturity, reflecting a scarcity premium for long-term Sharia-compliant assets.

2026 program: doubled to 10 billion MAD

Morocco's Ministry of Finance announced late April 2026 the Sukuk issuance program for the year: 10 billion MAD across 4 tranches (3 + 2.5 + 2.5 + 2 billion MAD between March and October 2026). First tranche already issued March 18: 3 billion MAD on 10-year maturity.

Impact on participatory banks

Sovereign Sukuk arrival represents a revolution for Morocco's 5 participatory banks. Before 2025, they were forced to place liquidity surpluses with Bank Al-Maghrib in non-remunerated current accounts. Now they can invest reserves in Sukuk at 3.4-3.9% yields, directly improving their net margin.

Article based on official public data + wafir.ma expert sources. All cited statistics are verifiable with the mentioned organizations.

Tags

#Sukuk#Participatory finance#Treasury#Financial market
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