Casablanca-Recent announcements from the High Commission for Planning have shed light on Morocco’s economic landscape, forecasting a significant upturn with a projected 3.2 percent increase in Gross Domestic Product (GDP) for the year 2024. This notable growth surpasses the estimated 2.9 percent recorded in 2023, indicating a promising trajectory for the nation’s economy.

The commission’s economic budget report for 2024 outlines these optimistic projections, highlighting anticipated developments in taxes and fees on net product subsidies, with an expected increase of 3.2 percent. Additionally, the report forecasts a rise of 6 percent in nominal GDP for 2024, reflecting positive momentum in economic activities across various sectors.

Stabilization of inflation is a key highlight of the economic forecast, with projections indicating a rate of around 2.8 percent in 2024. This marks a notable contrast to the 4.5 percent estimated in 2023 and the 3.1 percent recorded in 2022, signaling a more controlled inflationary environment conducive to economic growth.

The economic outlook for 2024 is anchored on new provisions introduced in the Finance Act for the year, aimed at addressing socio-economic challenges arising from factors such as inflation, drought, and the Hawz earthquake. Notable initiatives include major infrastructure projects and social support programs expected to stimulate economic activity and contribute to overall growth.

Moreover, the forecast takes into account agricultural production expectations for the 2023-2024 season, factoring in rainfall levels and their distribution until December 2023. Despite challenges in the agricultural sector, value-added in agricultural activities is projected to increase by 2.5 percent in 2024, significantly contributing to GDP growth.

Additionally, the economic budget report highlights anticipated growth in non-agricultural activities, with sectors such as construction, manufacturing, and mineral activities expected to drive economic expansion. The construction and public works sector, in particular, is poised for recovery in 2024, supported by increased public investment and housing acquisition support programs.

Domestic demand is expected to play a pivotal role in driving economic growth, with a projected increase of 3.5 percent in 2024. This surge is attributed to efforts in public investment and social support programs aimed at enhancing household purchasing power and stimulating economic activity.

Morocco’s economic outlook for 2024 presents a promising picture of growth and resilience, with projections indicating a robust expansion across various sectors. The High Commission for Planning’s economic budget report provides valuable insights into the anticipated trajectory of the nation’s economy, underlining the potential for sustained growth and development in the coming year.