The Economy of Morocco
The Economy of Morocco
Moroccan Economy
Economy - overview: Moroccan economic policies brought macroeconomic stability to the country in the early 1990s but have not spurred growth sufficient to reduce unemployment - nearing 20% in urban areas - despite the Moroccan Government's ongoing efforts to diversify the economy. Morocco's GDP growth rose to 5.3% in 2008, with the economy recovering from a drought in 2007 that severely reduced agricultural output and necessitated wheat imports at rising world prices. Moroccan authorities understand that reducing poverty and providing jobs are key to domestic security and development. In 2005, Morocco launched the National Initiative for Human Development (INDH), a $2 billion social development plan to address poverty and unemployment and to improve the living conditions of the country's urban slums. Moroccan authorities are implementing reform efforts to open the economy to international investors. Despite structural adjustment programs supported by the IMF, the World Bank, and the Paris Club, the dirham is only fully convertible for current account transactions. In 2000, Morocco entered an Association Agreement with the EU and, in 2006, entered a Free Trade Agreement (FTA) with the US. Long-term challenges include improving education and job prospects for Morocco's youth, and closing the income gap between the rich and the poor, which the government hopes to achieve by increasing tourist arrivals and boosting competitiveness in textiles.
GDP:
GDP - real growth rate: 5.9% (2008 est.) 3.2% (2007 est.) 7.8% (2006 est.)
GDP - per capita:
GDP - composition by sector: agriculture: 14.7% industry: 38.9% services: 46.5% (2008 est.)
Population below poverty line:
Household income or consumption by percentage share: lowest 10%: 2.6% highest 10%: 30.9% (1999)
Distribution of family income - Gini index: 40 (2005 est.)
Inflation rate (consumer prices):
Labor force: 11.5 million (2008 est.)
Labor force - by occupation: agriculture: 44.6% industry: 19.8% services: 35.5% (2006 est.)
Unemployment rate: 10% (2008 est.)
Budget: revenues: $26.09 billion expenditures: $28.41 billion (2008 est.)
Industries: phosphate rock mining and processing, food processing, leather goods, textiles, construction, tourism
Industrial production growth rate: 5.8% (2008 est.)
Electricity - production: 21.88 billion kWh (2006 est.)
Electricity - production by source:
Electricity - consumption: 19.58 billion kWh (2006 est.)
Electricity - exports: 0 kWh (2007 est.)
Electricity - imports: 1.998 billion kWh (2006 est.)
Oil - production: 3,746 bbl/day (2007 est.)
Oil - consumption: 179,700 bbl/day (2006 est.)
Oil - exports: 24,360 bbl/day (2005 est.)
Oil - imports: 192,500 bbl/day (2005 est.)
Oil - proved reserves: 836,000 bbl (1 January 2008 est.)
Natural gas - production: 60 million cu m (2006 est.)
Natural gas - consumption: 60 million cu m (2006 est.)
Natural gas - exports: 0 cu m (2007 est.)
Natural gas - imports: 0 cu m (2007 est.)
Natural gas - proved reserves: 1.557 billion cu m (1 January 2008 est.)
Agriculture - products: barley, wheat, citrus, wine, vegetables, olives; livestock
Exports: $16.14 billion f.o.b. (2008 est.)
Exports - commodities: clothing and textiles, electric components, inorganic chemicals, transistors, crude minerals, fertilizers (including phosphates), petroleum products, citrus fruits, vegetables, fish
Exports - partners: Spain 21.2%, France 19%, Italy 4.9%, UK 4.6%, India 4.2% (2007)
Imports: $34.44 billion f.o.b. (2008 est.)
Imports - commodities: crude petroleum, textile fabric, telecommunications equipment, wheat, gas and electricity, transistors, plastics
Imports - partners: France 16.1%, Spain 13.6%, China 7.3%, Italy 6.7%, Saudi Arabia 6.4%, Germany 5.9%, US 4.5%, Netherlands 4.1% (2007)
Debt - external: $21.11 billion (31 December 2008 est.)
Economic aid - recipient:
Currency:
Currency code:
Exchange rates: Moroccan dirhams (MAD) per US dollar - 7.526 (2008 est.), 8.3563 (2007), 8.7722 (2006), 8.865 (2005), 8.868 (2004)
Fiscal year: