Morocco's growth projected at 3.1% in 2024, 3.3% in 2025, according to IMF

According to the International Monetary Fund's (IMF) updated World Economic Outlook released on Tuesday, Morocco's economy is expected to grow by 3.1% this year and 3.3% in 2025. The report, launched during the spring meetings with the World Bank in Washington, also forecasts inflation at 2.2% in 2024 and 2.5% in 2025. Unemployment is predicted to reach 12% this year, falling slightly to 11.5% in 2025.

The IMF anticipates the Kingdom's current account balance to stand at -2.6% in 2024, decreasing to -2.9% the following year.

Globally, the Bretton Woods institution forecasts resilient growth of around 3.2% for 2024 and 2025, suggesting a «soft landing» for the economy. However, the IMF acknowledges the «uneven» nature of this growth due to ongoing conflicts that «continue to cause loss of life and increase uncertainty».

Despite a slight downward revision from previous projections, growth for 2024 and 2025 is expected to remain stable at around 3.2%. The median headline inflation rate is also projected to fall from 2.8% at the end of 2024 to 2.4% by the end of 2025.

This resilience and disinflation are attributed to favorable developments on the supply side, including the easing of pressure on energy prices. Additionally, the IMF highlights the impact of a strong labor supply rebound due to increased immigration in many advanced countries, alongside «decisive» monetary policy measures.

«While these developments are welcome, many challenges remain, and decisive action is needed», warns the IMF, expressing concern about rising inflation in some regions and widening disparities between low-income developing countries and the rest of the world.