Morocco Posts 4.6% Economic Growth in Q2 2025, Driven by Consumption and Industry

RABAT – July 11, 2025 — Morocco’s economy maintained its upward trajectory in the second quarter of 2025, recording a robust growth rate of 4.6%, according to new figures released by the High Commission for Planning (HCP). The performance was largely driven by strong domestic demand, resilient industrial output, and ongoing public and private investment across key sectors.

The HCP projects continued momentum in the months ahead, forecasting a 4.4% GDP expansion for the third quarter, as Morocco navigates a complex global economic environment with relative stability and confidence.

An HCP spokesperson stated:

“The national economy continues to demonstrate resilience in the face of external volatility. Morocco’s growth is being supported by internal consumption, a recovering agricultural season, and industrial diversification.”

Domestic Consumption Fuels Growth

Household consumption rose significantly during Q2, aided by job market stability, rising remittances from the Moroccan diaspora, and improved access to credit. Retail, transport, and hospitality sectors all posted gains, reflecting growing consumer confidence and a steady return of tourism.

At the same time, public spending on infrastructure and energy projects, including renewables and transport corridors, helped stimulate local economies and support employment.

Industry and Manufacturing Show Strength

Industrial production expanded across key areas such as automotive assembly, textiles, phosphates, and aerospace components. The government’s ongoing push to position Morocco as a regional manufacturing hub—particularly for electric vehicle parts and green energy technologies—continues to yield results.

Despite global supply chain tensions, Morocco’s industrial exports remained stable, aided by strong demand from the European Union and West Africa.

Agriculture Recovers After Drought

Following a difficult agricultural year in 2024 due to drought conditions, early indicators suggest a partial rebound in cereal and citrus production thanks to improved rainfall and targeted subsidies. While agriculture’s contribution to GDP remains cyclical, it continues to play a key role in rural employment and food security.

Outlook for the Second Half of 2025

With inflation projected to remain below 3% and the dirham maintaining relative stability, analysts expect Morocco’s growth trajectory to remain positive in the second half of 2025.

The government has emphasized its commitment to balancing macroeconomic discipline with social investment, particularly in health, education, and housing—seen as essential to sustaining inclusive growth.

The Ministry of Economy and Finance will publish its updated 2025 outlook in late July, ahead of national budget planning for 2026.