« Despite various obstacles, such as the slowdown in the global economy, an inflationary shock and the Al Haouz earthquake, the Moroccan economy has demonstrated resilience and recovered, with real production increasing by 3.4% in 2023 », indicates the international financial institution in a press release published Thursday.
This report demonstrates « the importance of productivity in improving a country’s economic growth and standard of living. This is part of the New Development Model (NMD) and Morocco’s long-term inclusive development vision,” declared the World Bank Country Director for the Maghreb and Malta, Ahmadou Moustapha Ndiaye. “The country has recently made significant progress, notably by operationalizing the Competition Council, amending the competition law, and concluding a historic antitrust agreement with fuel distributors. To take advantage of this progress, and as the NMD highlights, continued efforts will need to be made, in particular to support small and medium-sized businesses,” added Mr. Ndiaye quoted in the press release. The main drivers of this acceleration, according to the World Bank, were the recovery of the tourism sector, export-oriented manufacturing niches, particularly in the automobile and aeronautics sectors, as well as the restart of private consumption. “Favorable macroeconomic policies, such as public sector expansion and fiscal consolidation strategies, have also contributed to this economic growth,” it adds. Morocco has also recorded a « substantial increase » in foreign direct investment, providing significant development opportunities, and a decline in the current account deficit to its lowest level since 2007. The World Bank nevertheless underlines that the Moroccan economy « faces challenges as businesses and households struggle to recover from recent shocks, as evidenced by an increase in business bankruptcies and a loss of 200,000 jobs in rural areas in 2023, and this despite the economic acceleration. Per capita consumption has barely returned to pre-pandemic levels, and a new social assistance program will support the most vulnerable households, underlines the same source which anticipates that in 2024, economic growth should slow to 2.9% « due to a poor agricultural campaign, but non-agricultural GDP should remain stable ».
