The High Commission for Planning (HCP) has published the national accounts for the first quarter of 2024, revealing a growth of the national economy of 2.5%, down from 3.9% in the same quarter of the previous year. This slowdown, although notable, is part of a context of controlling inflation and improving the financing capacity of the national economy.
Growth driven by domestic demand
Economic growth in Q1-2024 was mainly supported by robust domestic demand, posting an increase of 3.6% compared to only 0.3% in the same quarter of the previous year. This demand contributed 3.7 percentage points to national economic growth, compared to 0.3 percentage points a year earlier. Household final consumption expenditure increased by 3%, contributing 1.9 percentage points to growth, while general government final consumption slowed to 3.9%.
Non-agricultural activities grew by 3.2%, despite a 5% decline in the agricultural sector. The primary sector saw its value added fall by 4.3%, mainly due to a 5% contraction in agriculture, although fishing recorded a 10% increase.
The secondary sector showed resilience with a 3.6% increase in its added value, in contrast to the 0.4% decrease recorded the previous year. This performance was driven by a recovery in the extraction industries (+17.7%), electricity, gas and water (+3%), and construction and public works (+2.5%).
The tertiary sector slowed, with growth of 3% compared to 6% a year earlier. This sector was marked by slowdowns in financial services and insurance, research and development, transportation and warehousing, and accommodation and catering.
Foreign trade in goods and services contributed negatively to growth, with imports increasing by 9.5% and exports by 7.3%. Gross investment increased by 4.6%, contributing positively to growth by 1 point, contrasting with the negative contribution of 1.2 points observed a year earlier.
National savings represented 24.3% of GDP in Q1-2024, down from 25.6% in the previous year. This change is explained by a 4.5% increase in national final consumption. Gross investment represented 23.7% of GDP, generating a financing capacity of 0.6% of GDP.
In conclusion, despite a slowdown in economic growth in the first quarter of 2024, Morocco has maintained financial stability with controlled inflation and an improvement in its financing capacity, driven by solid domestic demand and varied sectoral performances.
LNT
Share this article:
