WB: Morocco’s growth to pick up to 3.5% in 2023 & 3.7% in 2024

The World Bank expects Morocco’s economic growth to increase to 3.5 percent in 2023 and 3.7 percent the following year as the country’s agriculture sector recovers gradually from last year’s drought.

The spending of the North African Govt. is expected to partially offset weakness in private consumption stemming from high inflation, underlined the WB in its latest Global Economic Prospects report.

In its forecast for the region of the Middle East & North Africa, the World Bank anticipates growth to decelerate to 3.5 pc in 2023 and to 2.7 pc in 2024.

The slowdown is mainly on account of a fading boom in net oil exporters where growth is expected to slow to 3.3 pc and 2.3 pc in 2023 and 2024, respectively, from 6.1 pc in 2022.

The MENA region saw output expand by 5.7 % as oil exporters enjoyed windfalls from increased oil and gas prices and rising production. In contrast, rising inflation and tightening financing conditions have weighed on output in net oil importers in the region.

Nonetheless, the region is still characterized by widely divergent economic conditions and growth paths, high levels of poverty and unemployment in many countries, low labor productivity growth, elevated vulnerabilities, and fragile political and social contexts.