Moroccan expatriates (MRE) continue to boost the country’s economy with record-breaking remittances projected to reach MAD 117.5 billion in 2024, marking a 1.9% increase, according to Bank Al-Maghrib (BAM).

BAM’s monetary policy report, published after its second quarterly meeting in 2024, indicates that this upward trend is expected to continue with remittances growing by 5.3% to MAD 123.7 billion in 2025.

Travel revenues are also set to perform well, with a projected 5.8% increase to MAD 110.8 billion in 2024, and another 5.8% rise to MAD 117.2 billion in 2025, the Central Bank noted.

Foreign direct investment (FDI) is forecasted to grow to MAD 46.6 billion in 2024, equating to 3.1% of GDP, up from 2.4% the previous year. By 2025, FDI is expected to represent 3.2% of GDP.

Exports are projected to rise by 8.9% in 2025, driven mainly by a 13.2% increase in phosphate sales to MAD 88.5 billion and a 12.8% growth in the automotive sector exports to MAD 185.1 billion.

Concurrently, imports are anticipated to increase by 9.7%, reflecting higher acquisitions of capital goods, finished consumer products, and a 4.9% rise in energy costs to MAD 125.1 billion.

Considering new international environment assumptions, macroeconomic forecasts, and performance data up to April 2024, the current account deficit is expected to widen from 0.6% of GDP in 2023 to 1.7% in 2024 and further to 2.7% in 2025.