Xinhuanet
Source: Xinhua
Morocco’s economic growth will decelerate to 3.3 percent in 2018, down from 4 percent in 2017, due mainly to late rainfall, the Moroccan central bank, Bank Al-Maghrib, said on Tuesday.
Based on rainfall data and the situation of the vegetation cover as of March 10, Bank Al-Maghrib’s forecasts predict a cereal production of about 8 million tons compared to 9.6 million tons of cereals in the last crop year.
The agriculture sector accounts for more than 15 percent of the north African economy.
Agricultural value added will increase by 2.3 percent, while non-agricultural activities is expected to continue its recovery to register an increase of 3.2 percent, the central bank said in a statement following its first quarterly meeting of the year.
Regarding inflation, the same source expects it to reach 1.8 percent in 2018 driven mainly by higher prices after only 2017 to 0.7 percent in 2017.
In its forecasts for 2019, the central bank said GDP would expand by 3.5 percent, with a 1.8 percent increase in agricultural value added, assuming a cereal production of 7 million tons and a 3.6 percent rise in non-agricultural activities.
Inflation is expected to ease to 1.5 percent in 2019.
