Morocco’s economic growth is expected to reach 4.2 % in 2025 and 4 % in 2026,driven by public investment,according to the projections of the European Bank for Reconstruction & Development.
In its latest report on regional economic prospects,the Bank said inflation in Morocco fell to an average of 1.2 % in the period from January to July 2025 due to the easing of food,fuel,and transport prices.
The fiscal deficit also fell to 3.9 % of GDP in 2024,0.4 % point below the budget target,on the back of higher tax revenues,added the report,citing the efforts made by the Moroccan government to reduce the fiscal deficit to 3.5 % of GDP in 2025 and 3.0 % in 2026. The public-debt-to-GDP ratio fell to 70 % in 2024,down from a peak of 72 % in 2020.
Goods exports expanded by 5.8 % in 2024,led by phosphate and automotive sales,alongside a 20 % surge in annual tourist arrivals (which rose to 17.4 million). Tourist arrivals then increased by a further 16 % year on year in the period from January to July 2025.
The Bank’s forecast for the whole southern & eastern Mediterranean (SEMED) region exceeded expectations in the first half of 2025,averaging 3.6 %,up from 1.2 % in 2024. Economic growth in the SEMED region is now expected to reach 3.7 % in 2025 and
3.2 % in 2026.
The SEMED region has benefited from a strong recovery in tourism,increased remittance flows and improving external balances,all of which have helped to drive the stronger performance.
United News - unews.co.za