Morocco could create up to 1.7 million jobs by 2035 if it speeds up economic reforms, according to new reports from the World Bank and the International Finance Corporation.
The studies say the economy could also grow nearly 20% more than current forecasts. They argue the country has made solid progress but now needs faster changes that focus on jobs.
A long-standing jobs problem
The reports say job creation has not kept up with population growth in Morocco. From 2000 to 2024, the working-age population grew two and a half times faster than employment. Young people and women have been most affected. Women’s participation in the workforce is still among the lowest in the world, despite better access to education. The reports say this must change to meet the goals of the New Development Model.
Four main reform areas
The World Bank outlines four priorities.
The first is stronger competition in markets. About 40% of industries still face limited competition, which holds back growth.
The second is support for small and medium-sized businesses. The reports call for fewer barriers so these companies can grow, innovate and hire more people.
The third is better targeted public investment. Spending should focus on infrastructure and projects that help the private sector expand.
The fourth is more inclusive labour markets, especially to help young people and women find formal jobs.
$7.4bn investment opportunity
The reports highlight four sectors that could attract private investment worth about 4% of GDP, or $7.4bn over the next decade.
One area is low-carbon textiles. Morocco wants to shift its textile industry toward cleaner production to serve European brands facing tougher environmental rules.
Another is decentralised solar energy. Businesses would be encouraged to generate their own power to reduce costs and improve export competitiveness.
The reports also point to higher-value exports. Argan production could move from raw oil to finished cosmetic products. Marine aquaculture could grow using the country’s Atlantic and Mediterranean coasts to supply global demand for sustainable seafood.
Long-term outlook
By 2050, the reforms could create 2.5 million jobs. The World Bank says Morocco already has the right sectors and policy ambition. The main challenge is faster implementation and removing bureaucratic barriers.
“The Kingdom has a unique window of opportunity,” World Bank representatives said at the Rabat launch. “By connecting macro-reforms with these investable private sector opportunities, Morocco can ensure that its next chapter of growth works for all its citizens.”
