The Moroccan economy registered a growth rate of 5.5% during the second quarter of this year, achieving its highest pace since the post-Covid-19 recovery period in 2021, according to data from the High Commission for Planning in Morocco.
The Commission explained, in its report on economic indicators for the second quarter of 2025, that the growth of the Moroccan economy was supported by the expansion of the labor market and a 1.4% year-on-year increase in the employment rate.
This is mainly due to companies in the services and industrial sectors focusing on adjustments based on increasing labor productivity rather than new hiring, in a context characterized by rising wages, especially for minimum wage workers, according to the Moroccan News Agency.
The economic recovery was also accompanied by an increased need for financing. Despite the significant improvement in tax revenues, both from indirect taxes and corporate taxes, reflecting the expansion of the tax base thanks to the rebound in economic activity, expenditures, particularly those related to employee salaries, increased by 10.8%, contributing to the greater need for funding.
The manufacturing, extractive, construction, and accommodation sectors experienced significant growth, contributing 40% to overall economic growth.
Activity accelerated particularly due to a stronger-than-expected recovery in exports (up 8.5%) and an improvement in domestic demand (up 9.2%).
Moroccan households' confidence also increased, encouraging a 5.1% rise in consumer spending, compared to a 4.4% increase in the previous quarter.
The Moroccan economy is on an upward trend.
The High Commission for Planning reported in a press release issued today, Tuesday, that the Moroccan economy continued its upward trend during the second quarter of 2025, registering growth of 5.5% compared to only 3% during the same period of 2024. This performance is mainly attributed to a 5.5% improvement in non-agricultural activities and a 4.7% increase in agricultural activity, in a context characterized by controlled inflation despite the increased need to finance the national economy.
The Commission explained in the press release, which Hespress received, that the value added of the secondary sector increased by 7.4% compared to 3.1% a year earlier, driven by the dynamism of construction and public works activities (+6.7%), electricity, gas, and water (+8.9%), and manufacturing (+6.9%), while extractive industries slowed to 10.9% after having been around 20%.
The tertiary sector also continued its improvement, registering growth of 4.8% instead of 4.2%, supported by activities in hotels and restaurants (+10.5%), public services and social security (+4.8%), and trade and vehicle repair (+4.4%), in addition to a recovery in media, communication, and real estate. Conversely, growth in education, health, and transport services slowed.
As for the primary sector, value added increased by 4.2% compared to a decrease of 4.8% last year, supported by a recovery in agriculture (+4.7%) despite the continued decline in fisheries activities (-7.7%).
The press release also highlighted that gross domestic product (GDP), in volume terms, increased by 5.5%, while in current prices it registered growth of 7.8%. This led to a slowdown in inflation to 2.3% compared to 3.9% during the same period last year.
Domestic demand, according to the same source, registered a significant increase of 9.2% compared to 6.6%, contributing 9.9 percentage points to economic growth. This is attributed to a 18.9% rise in gross fixed capital formation, and the positive contributions of final consumption by households (+5.1%) and public administrations (+6.5%) to growth.
Conversely, external trade in goods and services continued to have a negative impact on growth, with imports increasing by 15.7% compared to 13.6%, while exports grew by 8.5% instead of 6.3%, resulting in a negative contribution of 4.4 percentage points to GDP.
Despite a 7.2% increase in gross national disposable income, the financing needs of the national economy rose to 3.2% of GDP, after being only 1.6% last year, due to the widening gap between national savings (29.3%) and the level of investment (32.5%).
The High Commission for Planning affirmed that these developments collectively reflect the dynamism of the national economy during the second quarter of 2025, but also reveal the continued pressures related to investment financing and external trade.
Morocco's economic growth will slow to 4% in 2026.
Morocco's High Commission for Planning projected on Tuesday that the country's economic growth would slow to 4 percent next year from an expected 4.4 percent this year, citing global uncertainty regarding trade.
The commission said in a report that the forecast was based on estimates of an average wheat harvest and lower external demand for Moroccan goods.
"International trade disruptions and continued uncertainty regarding the economic outlook will affect the growth of trade in goods and services, which will reduce the recovery of external demand directed towards Morocco," the report stated.
The delegation added that domestic demand continues to drive imports, contributing to a widening current account deficit, which is projected to reach 1.9 percent of GDP in 2026 after registering 1.8 percent this year.
It also stated that the fiscal deficit will narrow to 3.4 percent of GDP in 2026 from 3.6 percent this year, as increased tax revenues will offset the rise in government spending.
