Morocco’s Economy Reels as 57% of Businesses Halt Operations Amid COVID-19 Crisis

In a business survey conducted by the High Commission for Planning (HCP), it was indicated that 57% of all companies, or 142,000 companies, reported having permanently or temporarily stopped their activities.

In this 57%, more than 135,000 companies had to temporarily suspend their activities, while 6,300 ceased their activities permanently.

Regarding the categories of companies, the Very Small Enterprises (VSEs) are the most impacted with 72%, followed by Small and Medium Enterprises (SMEs) with 26% and Large Enterprises (LEs) with 2%.

As for the affected sectors, it is the accommodation and catering sector with 89% of companies at a standstill. Then come respectively the textile and leather industries as well as the metal and mechanical industries with 76% and 73%. As for the construction sector, it was impacted to the tune of 60% of companies at a standstill.

This survey was conducted by the HCP, by telephone, from April 1 to 3, as part of the work to monitor the socio-economic effects of the covid-19 pandemic on the national economy. It targeted a sample of 4,000 organized companies operating in the manufacturing, construction, energy, mining, fishing, trade and non-financial market services sectors.