Morocco’s Inflation Soars to 7.8%, Driven by Surging Food Prices

This increase is explained by a 13% surge in food prices and a 4.5% increase in non-food prices, explains the HCP in its third quarter 2022 economic note and outlook for the fourth quarter.

Despite the decline in international commodity prices that began in July 2022, tensions on the prices of imported products would have been maintained, in a context of appreciation of the dollar, leading to higher domestic prices, particularly for food and fuel.

Thus, in the third quarter of 2022, imported inflationary pressures would have contributed 3.8 points for non-fresh products and 1.5 points for energy, or nearly 70% of the increase in the overall index.

As for fresh products, they followed their surge in the third quarter, contributing 1.1 point and 0.8 point respectively, while those of services would have slightly decelerated, in the wake of the slowdown in transport service prices, compared to the same period in 2021, it is specified.

For the whole year, the HCP forecasts a 6.4% increase in the consumer price index, year-on-year, up 5 points compared to 2021, against the backdrop of the continued pressures until the end of 2022 linked to the rise in international commodity prices, as well as the depreciation of the dirham against the dollar.