Morocco’s Economy Resilient Despite Pandemic, Moody’s Reports

According to Moody’s, Morocco "has access to relatively deep domestic financial markets, while having ensured an economic transition towards higher value-added export sectors". The agency states that it is clear that "the coronavirus pandemic will impact the country through a decline in tourism and exports to Europe", but this will "be slightly offset by the decline in energy product prices".

Under these conditions, the agency in its note, has revised downwards its GDP (Gross Domestic Product) growth forecasts to 2% in 2020 and 2.8% in 2021. Similarly, the budget deficit is expected to reach 4.4% in 2020 after the 4% of 2019. But as for the country’s debt, the rating agency believes that it "should continue to increase to reach a peak of 68% in 2022, before declining thereafter due to the expected improvement in the budget deficit".