Morocco's Inflation Dips to 6.1% in 2023
Morocco welcomed positive economic news this week as the country's inflation rate declined to 6.1% in 2023, marking a decrease from the previous year's 6.6%. The reduction was disclosed in a report published on Monday by Morocco's High Commission for Planning (HCP).
The drop in inflation was primarily attributed to decreasing prices of key consumer goods. Between November and December 2023, the costs of fruits, vegetables, fish, coffee, tea, and chocolate all experienced significant decreases. However, contrary to this deflationary trend, meat, oils, fats, dairy, and eggs witnessed price increases.
In another favorable development for Moroccan consumers, fuel prices also saw a decline of 2.6% in December, providing much-needed relief at the pump to conclude the year.
Despite ongoing volatility, the core inflation rate, which excludes goods with fluctuating prices, only rose by 0.2% last month. This suggests a relatively stable foundation for underlying inflationary pressures.
However, regional variations persist. Cities such as Al-Hoceima, Beni-Mellal, and Errachidia continued to experience elevated inflation compared to the national average.
Earlier forecasts had anticipated that 2023 inflation would mirror the 2022 rate of 6.6%. Nevertheless, the latest HCP figures surpassed expectations, signaling encouraging progress in Morocco's battle against rising prices. The decline in inflation, following a year of uncertainty, emerged as a positive surprise and served as a fitting conclusion to 2023.