OECD forecasts 3.5% GDP Growth for Morocco ’24, 4.0% ’25

Morocco’s GDP is expected to grow to 3.5 per cent  in 2024, and to 4.0 per cent in 2025, driven by rising investment and strong exports, according to OECD’s latest Economic Survey released on Wednesday.

Despite setbacks from the 2023 earthquake and ongoing droughts, Morocco’s economy continues to recover from the COVID-19 pandemic and energy crisis. The public debt-to-GDP ratio should gradually decrease from 69.5 per cent in 2023 to 68.2 per cent by 2025, while inflation is projected to fall from 6.1 per cent in 2023 to 2.0 per cent in 2025 as global food price pressures ease.

The OECD report highlights Morocco’s trade openness and attraction of foreign direct investment (FDI), though it stresses the need to enhance domestic private investment. The new Investment Charter aims to boost private sector investment through improved incentives and better business conditions.

OECD Secretary-General Mathias Cormann, alongside Moroccan officials, emphasised the importance of improving productivity, creating quality jobs, and advancing climate goals.

Key priorities include addressing informality, upskilling the workforce, and increasing female and youth labor force participation. Morocco’s climate commitment involves reducing carbon emissions by 45 per cent by 2030 and achieving net zero by 2050.

The OECD’s survey and the completion of the second phase of the OECD-Morocco Country Programme underscore ongoing support for Morocco’s development and growth objectives. Additionally, the OECD presented its National Urban Policy Review of Morocco, outlining strategies to build more productive, sustainable, and inclusive cities.

Attribution: OECD Economic Surveys MOROCCO

Subediting: Y.Yasser