Morocco’s $38 Billion Infrastructure Boost: Paving the Way for Economic Growth and Global Connectivity

These investments must be mobilized for six distinct sectors. Approximately $19.3 billion for the road sector; $8.2 billion for the port sector; $6.3 billion for telecommunications and digitization; $3 billion for the rail sector, approximately $1.1 billion for sanitation infrastructure and approximately $0.1 billion for the aviation sector, details the study conducted by Allianz Research, specifying that these figures are part of a broader global estimate. This indicates that economies around the world must devote the equivalent of 3.5% of annual GDP over the next decade, or about $4,200 billion per year, to fill the infrastructure investment gap, including transportation, digitization and social sectors.

As for Morocco, meeting these investment needs will allow the kingdom to strengthen its wealth creation capacity, improve its attractiveness for foreign investment and develop its trade links with regional and international markets, particularly due to its strategic geographical position as a gateway between Europe and Africa, the study notes, stressing that more than 60% of Moroccans live in urban areas. As a result, there is increasing pressure on national infrastructure. Investment in this area then appears to be an essential condition for increasing the hosting capacity of the national economy.

This need is in line with the global trend to double infrastructure spending, which will reach $11,500 billion over the next decade internationally in non-energy sectors, rising to $26,000 billion by 2035 including energy investments, according to the Allianz Research report. Furthermore, the study notes that the private sector has become a major player in the financing of infrastructure projects, with the value of unlisted assets increasing from less than $25 billion in 2005 to $1,500 billion in 2024, with a particular interest in energy transition and digital projects, such as data centers and fiber optics, due to the stable and attractive returns they provide.

This global dynamic opens an important window for Morocco to attract foreign and local investments, and accelerate the realization of strategic projects capable of achieving sustainable development goals and strengthening the competitiveness of the national economy, Allianz Research estimates.