RABAT, July 24 – Morocco’s economy is expected to grow by 4.2% in 2026, moderating from the 4.9% expansion recorded in 2025, according to the World Bank, which attributed last year’s strongest economic performance in a decade to increased infrastructure investment and a rebound in agricultural output.
In its latest economic outlook, the World Bank said Morocco’s growth in 2025 was driven by large-scale public investment linked to preparations for the 2030 FIFA World Cup, which the country will co-host with Spain and Portugal, alongside improved performance in the agricultural sector.
The Moroccan government is investing more than 190 billion dirhams (approximately $20 billion) in transport and urban infrastructure, including new and expanded railways, roads, airports, stadiums and other public facilities ahead of the global sporting event.
Despite a projected moderation in economic activity this year, the World Bank said growth would continue to be supported by sustained infrastructure spending and improving domestic demand.
According to the World Bank, “The 2026 forecast reflects a continued investment push and improving domestic demand, despite higher energy costs resulting from the Middle East conflict.”
The lender, however, warned that climate-related risks remain a significant long-term challenge for the Moroccan economy.
It noted that “Over the longer term, recurrent drought poses a continued risk to agricultural output and water-dependent sectors,” highlighting the country’s vulnerability to changing weather patterns.
The World Bank also said Morocco’s economic outlook remains closely linked to developments in Europe, its largest export market, noting that future growth will depend partly on the pace of economic recovery among its principal European trading partners.
Looking beyond near-term growth, the institution emphasised the importance of digital transformation in sustaining productivity gains across the economy.
According to the report, “While the macroeconomic foundations are solid, the country’s next great leap in productivity will depend on how deeply, and how broadly, its businesses embrace advanced digital technologies.”
The latest forecast underscores Morocco’s continued investment-led growth strategy while highlighting the need to strengthen economic resilience through technological innovation, climate adaptation and diversified sources of growth.
