Morocco’s textilers criticize devaluation

Published April 29th, 2001 - 02:00 GMT

The Moroccan textile industry criticized a currency devaluation as insufficient on Thursday, April 26, a day after the government devalued the dirham by about five percent. 

 

The devaluation decision follows strong lobbying from Moroccan exporting companies — in particular the textile sector, which was hit by the fall of the euro against the dollar last year. 

 

The dollar was trading at 11.461 dirhams on Wednesday, compared with 10.876 Tuesday, and the euro trades at 10.220 dirhams, against 9.720 dirhams. 

 

The vice president of the Moroccan textile industry association, Abdelali Berrada, criticized the five-percent devaluation as "a half-step, which in no way will solve the problem". 

 

Nearly a hundred textile factories closed down in 2000, costing 30,000 jobs. Textile makers had urged a sharp devaluation because of the continued weakness of the euro. Most textiles are exported to Europe. — (AFP, Rabat) 

 

© Agence France Presse 2001

© 2001 Mena Report (www.menareport.com)

You may also like