Morocco sets course for economic transformation under royal leadership

Wednesday 30 July 2025 - 10:50

By: Dakir Madiha

Morocco sets course for economic transformation under royal leadership

His Majesty King Mohammed VI, accompanied by Crown Prince Moulay El Hassan and Prince Moulay Rachid, received Abdellatif Jouahri, Governor of Bank Al-Maghrib, at the Royal Palace in Tetouan on Tuesday. Jouahri presented the central bank’s annual report, outlining Morocco’s economic, monetary, and financial performance for 2024, alongside recommendations to sustain growth and meet the country's ambitious 2030 goals.

Economic performance: cautious optimism amid challenges

Jouahri highlighted Morocco’s notable economic recovery in 2024, despite global uncertainties and consecutive years of drought. The national economy grew by 3.8%, with non-agricultural activities expanding by 4.8%. Inflation dropped significantly, averaging 0.9%, following the central bank’s monetary easing measures, including two key interest rate cuts.

The labor market created 82,000 jobs, yet unemployment remained high at 13.3%, signaling the need for further structural reforms to stimulate job creation. On public finances, the budget deficit narrowed to 3.9% of GDP, driven by robust tax revenues and innovative financing mechanisms.

External accounts also showed resilience, with the current account deficit contained at 1.2% of GDP. This was supported by strong exports in the automotive and phosphate industries, lower energy costs, rising tourism receipts, and remittances from Moroccans abroad. Official reserve assets strengthened to over MAD 375 billion ($37.5 billion), covering approximately 5.5 months of imports.

Royal vision: reforms for resilience and development

Jouahri underscored Morocco’s progress under His Majesty King Mohammed VI’s leadership, highlighting transformative reforms and infrastructure investments that have elevated the country’s international standing. These efforts have positioned Morocco as a reference for institutional and economic modernization, despite recent external shocks that slowed growth and job creation.

To accelerate development, the King has launched strategic initiatives addressing water security, energy sovereignty, food resilience, and infrastructure upgrades. These measures align with Morocco’s preparations for hosting major international events and achieving long-term development goals.

Strategic priorities for sustained growth

Jouahri emphasized three key priorities to translate Morocco’s momentum into tangible outcomes:

Strengthening economic resilience: This includes improving governance, consolidating the productive sectors, and mobilizing the private sector to drive investment and job creation.

Enhancing public sector agility: Efficient governance and regular evaluations are essential to adapt to evolving challenges and ensure policy effectiveness.

Preserving macroeconomic stability: Continued budget consolidation, pension reform, and the implementation of a revised organic finance law are critical to maintaining fiscal health.

Jouahri stressed that Morocco’s stability, visionary leadership, and growing international credibility are key assets. He called on all sectors of society to mobilize in support of the King’s vision, ensuring that the country meets its major 2030 deadlines and transitions to a higher-income economy.

A decisive moment for Morocco’s future

The Governor concluded by emphasizing the importance of turning upcoming challenges into opportunities. Morocco’s ongoing reforms and strategic initiatives, guided by the King’s vision, provide the foundation for sustained economic growth and social development. With focused efforts, 2024 could mark a turning point in Morocco’s trajectory toward prosperity and global leadership.