Central bank sees automotive sector exports at $20 bln by 2026

Morocco’s central bank gave a promising outlook for Morocco’s current account balance putting emphasis on the growing exports of the automotive sector, seen at a record 20 billion dollars by 2026.

Likewise, the bank expects Morocco’s phosphates and derivatives exports would settle at 10 billion dollars, while remittances from Moroccans abroad and tourism receipts would hit 12.8 billion dollars each.

This positive performance, combined with a drop in energy imports to 11 billion dollars, would keep Morocco’s current account deficit at below 2% over the next two years, the bank said.

It also notes that the ongoing infrastructure projects means that imports of equipment would surge.

Morocco has launched an industrialization process attracting giants in EV manufacturing as it also seeks to develop its defense, rail and aerospace industries.

The country is also upgrading its infrastructure investing in transport, hotels and stadiums ahead of the 2030 World Cup.

The bank has lowered its key interest rate by 25 basis points to 2.5% to ease access to loans in a boost to the 2030 World Cup construction efforts.