Casablanca – Remittances from Moroccans residing abroad continue to play a crucial role in the Moroccan economy, demonstrating significant growth and resilience. According to projections from Bank Al-Maghrib (BAM), these remittances are expected to reach a record $12.1 billion in 2024, marking a 1.9% increase from the previous year. This positive trend is anticipated to persist, with a further increase of 5.3% in 2025, bringing the total to $12.8 billion.

The steady inflow of remittances has substantial implications for the Moroccan economy. These funds are a vital source of foreign exchange, contributing to the country’s financial stability. They also support household incomes, allowing families to invest in education, healthcare, and housing, which in turn stimulates domestic consumption and economic growth.

In addition to remittances, Morocco’s economic landscape is bolstered by growth in other key sectors. Travel revenues are projected to increase by 5.8% in 2024, reaching $11.4 billion, and are expected to rise further to $12.1 billion in 2025. This growth underscores Morocco’s attractiveness as a tourist destination, benefiting the economy through job creation and increased demand for local goods and services.

Foreign direct investment (FDI) is another critical area of improvement, with revenues expected to reach $4.8 billion, or 3.1% of GDP, in 2024, up from 2.4% in the previous year. This positive trend is forecasted to continue, with FDI contributing 3.2% of GDP in 2025. Increased FDI reflects investor confidence in Morocco’s economic prospects and supports the development of sectors such as infrastructure, manufacturing, and technology.

Morocco’s export sector is also poised for growth, with an 8.9% increase expected in 2025. This growth is driven by a 13.2% rise in phosphate and derivative sales, reaching $9.1 billion, and a 12.8% increase in automotive sector exports, totaling $19.1 billion. These gains underscore Morocco’s competitive advantage in these industries and its capacity to expand its market presence globally.

On the import side, expectations are for a 9.7% increase, driven by acquisitions of capital goods, finished consumer products, and a 4.9% rise in the energy bill, reaching $12.9 billion. While rising imports indicate robust domestic demand, balancing trade remains crucial for sustainable economic growth.

Despite projections of an increase in the current account deficit from 0.6% of GDP in 2023 to 1.7% in 2024, and then to 2.7% in 2025, the overall economic outlook remains positive. Strong remittance flows, coupled with diversified growth across key economic sectors, continue to drive Morocco’s dynamic economic expansion.

Remittances from Moroccans living abroad are a fundamental component of Morocco’s economic framework, providing essential financial support alongside growth in tourism, FDI, and exports. Together, these factors contribute to Morocco’s resilient and evolving economic landscape.