On November 21, 2019, the Kingdom of Morocco issued a 1 billion EUR bond on the international financial market, with a 12-year maturity and a spread of 139.7 bps, i.e. a 1.5% interest rate.
This issuance, which marked the return of Morocco to the international financial market after a 5-year absence, has been a remarkable success with international investors. In addition to the yield that is the lowest level ever obtained by Morocco on the international market, this issuance has benefited from the largest order book in terms of quantity for a transaction in euros from Morocco: it exceeded 5.3 billion in the course of the transaction with more than 285 investors involved. This success shows the level of trust that major international financial institutions and rating agencies place in Morocco.
It is important to note that this issuance comes after a week-long roadshow led by Mr. Mohamed BENCHAABOUN, Minister of Economy, Finance and Administration Reform, accompanied by a delegation from the Treasury Department in the main European markets. The delegation visited Paris, Zurich, London, Frankfurt and Amsterdam / The Hague and held about thirty meetings with more than sixty investors, including fund managers, insurers, and pension funds. During this roadshow, investors particularly appreciated the political stability enjoyed by the Kingdom, the resilience of its macroeconomic framework confirmed by the Investment Grade rating maintained for more than a decade, as well as the scope of the reforms carried out under the guidance of His Majesty the King, that bode well for strengthening Morocco's economic prospects.
This issuance was made in 144A / Reg S format to allow the participation of European and American investors.