Ambitious Economic Projections for Morocco
The World Bank has outlined an ambitious trajectory for Morocco's economy, suggesting that the nation could elevate its real GDP by nearly 20% above its trend level by the year 2035. This projection, revealed in two reports released on April 28, indicates the potential for the creation of approximately 1.7 million additional jobs within this timeframe. The critical finding from the World Bank's analysis emphasizes that while Morocco possesses significant growth potential, its current expansion is hindered by persistent structural rigidities.
The insights were drawn from two key documents: the "Morocco Growth and Jobs Report" and the "Morocco Country Private Sector Diagnostic." The World Bank asserts that a more robust reform program could facilitate a transformative shift for the Kingdom. By implementing these reforms, it is estimated that not only could the country create 1.7 million jobs by 2035, but it could also reach a remarkable 2.5 million jobs by 2050, all while advancing its GDP to a level 20% higher than the baseline scenario.
Identifying Key Challenges and Investment Opportunities
Despite the resilience demonstrated by Morocco's economy in the face of external shocks, the nation struggles to translate macroeconomic stability into widespread job creation. The World Bank highlights a troubling mismatch between the growth of the working-age population and employment opportunities, noting that from 2000 to 2024, the workforce grew at a pace 2.5 times faster than job creation. This growing disparity underscores the urgent need for effective labor market policies and interventions.
Moreover, the reports reveal that nearly 40% of industrial sectors experience limited competitive pressure, which stifles business growth, productivity, and investment capacity. To address these imbalances, the World Bank has identified four priority areas: enhancing competition in markets, fostering the emergence of more dynamic firms, improving the efficiency of public investment, and making the labor market more inclusive—particularly for youth and women. The latter point is particularly concerning, as despite advancements in education levels, Morocco continues to grapple with one of the lowest female labor participation rates globally.
In terms of private investment, the second report pinpoints four key sectors ripe for attracting capital: decentralized solar power production, low-carbon textiles, argan-based cosmetics, and marine aquaculture. These sectors align with Morocco's priorities for green industrialization and territorial development, potentially mobilizing $7.4 billion in private investments—approximately 4% of the GDP—and generating over 166,000 jobs within the next five to ten years. However, the World Bank emphasizes the need to overcome persistent barriers, including bureaucratic hurdles, slow permitting processes, land access issues, availability of green energy, and a shortage of specific technical skills.
As Ahmadou Moustapha Ndiaye, the World Bank's director for the Maghreb and Malta, succinctly puts it, "Morocco has built a solid foundation, but it can achieve much more." This message resonates strongly as Rabat seeks to accelerate private investment to support a new cycle of growth.
As reported by fr.hespress.com.
