Morocco Poised to Lead Post-COVID Automotive Industry Recovery, Fitch Reports

According to the rating agency, Morocco and Egypt, "will benefit from the restructuring efforts of original equipment manufacturers (OEMs) after covid-19, as they seek to reduce their dependence on Chinese manufacturing and shorten their supply chains," reports agenceecofin.com.

Morocco, according to the agency’s rating, "has weathered the fiscal situation well," managing to mobilize "tax revenues of 24.1% in the first quarter of 2020," according to the "government resources and charges situation at the end of March 2020".

However, the expected drop in automotive production is likely to be a challenge, as the sector is the leading provider of export earnings.