The country has taken the measures announced by the Economic Vigilance Committee to address the impact of the Corona virus pandemic. However, these measures have not yet included micro-finance victims. The professional group of Moroccan banks has announced that those who have lost their jobs due to the Coronavirus pandemic (employees, professionals and small businesses) would benefit from the procedure for deferring the repayment of their debt. Those affected may, upon application to their banking institutions, suspend payment over a period of three months until 30 June 2020, renewable once for a similar period. This measure concerns real estate loans and consumer loans with the condition that warranty of the “Caisse Centrale de Garantie” and life and disability insurance coverage are extended for the same period.
The “clients” of microcredit institutions, about 900,000 people, half of whom are women, are mainly working-class and low-income earners. They borrow with interest rates
When A lends money to B, B repays the amount lent by A (the capital) as well as a supplementary sum known as interest, so that A has an interest in agreeing to this financial operation. The interest is determined by the interest rate, which may be high or low. To take a very simple example: if A borrows 100 million dollars for 10 years at a fixed interest rate of 5%, the first year he will repay a tenth of the capital initially borrowed (10 million dollars) plus 5%…