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BRICS Summit, Morocco’s policymaking

Saudi Arabia, the UAE, and Egypt were among six countries to be invited to join the BRICS bloc, which could solidify the shift in their geopolitical alignment towards a China-led bloc . This could have longer run implications for FDI flows, trade and economic growth. Elsewhere, inflation slowed further in Morocco and, coupled with an improving external position, could provide the backdrop for officials to widen the trading band of the dirham and adopt an inflation-targeting monetary policy framework.

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