Morocco’s Economy to Grow by 4.3% in Q4 – HCP

Moroccan economy is expected to grow by 4.3% in the fourth quarter of 2021, instead of a 5.1% decline a year earlier, due to an increase of 18.5% of the agricultural value added and 2.5% of the non-agricultural value added, according to the planning agency, HCP.

Crop production growth prospects are expected to remain favorable, says an outlook report released by the HCP, adding that animal sectors, on the other hand, would exhibit contrast. This is particularly due to the ongoing recovery of poultry production, contrasted by the weak dynamics of red meats.

The tertiary sector activity is expected to continue its improvement in market services, says the report, specifying that this sector would contribute by +1.4 pt to Morocco’s GDP evolution. Industrial activities, together with electricity and construction, would continue the improvement initiated in early 2021.

The mining activity growth is expected to slow, standing at +0.8% against last year’s +8.8%. Domestic demand, however, would continue to recover, thanks to increased household spending, especially on foodstuff and manufactured goods, and an increased spending on leisure and transportation.

Public spending is expected to continue its upward trend, with public consumption rising by 4.5%, the HCP stresses, underlining that gross investment is expected to grow at a rate of 8.1%, driven by the positive trend in investment in industrial products and construction.