Government deposits in local banks have increased 36.7 billion dirhams in the past two months.
Statistics released by the Central Bank yesterday showed that government deposits in the banking sector increased by the end of May 2020 to reach 295.9 billion dirhams, compared to 259.2 billion dirhams, at the end of last March, an increase of 36.7 billion dirhams during the months of April and May.
Commenting, the banking expert, Ahmed Youssef, said that the returns of government investments are usually collected at the end of March of each year, and are directed to projects and various aspects of spending, but given the measures that were taken due to the Corona virus, and the accompanying delay of some projects due to the inability Implemented in conditions of prohibition, social divergence, and remote work, government revenues have been channeled to the banks.
He pointed out that the abundance of liquidity with the government and its companies was reflected in the form of deposits often acquired by national banks.
Youssef added that government deposits are an important source of liquidity in the banking sector, and support his ability to grant various funds.
In addition, the Central Bank figures showed that cash circulating in the market outside the banks increased by 6.9 billion dirhams in the past two months, bringing the cumulative balance, at the end of last May, to 93.1 billion dirhams, compared to 86.2 billion dirhams at the end of March.
Cash in circulation outside the banks increased by 6.9 billion dirhams.