The Moroccan economy recorded a stronger-than-expected expansion in the third quarter of 2024, with GDP growing 2.8% year-on-year, up from 2.4% in the first half of the year, according to a recent update from the Higher Commission of Planning (HCP).
The rebound in domestic demand and a sharp uptick in exports powered the broad-based growth across key sectors, although agriculture and fishing continued to lag, according to the report.
The third-quarter data reflects a continued economic recovery, underpinned largely by non-agricultural sectors which posted a robust 3.6% increase.
Growth was bolstered by a 4.4% surge in secondary sectors like the manufacturing and extractive industries, outpacing the previous quarter’s 3.8% growth.
One standout performer was the mining sector, which grew a remarkable 15.4% from a year earlier, driven by strong export demand for raw materials.
The surge in exports of phosphates, a key national commodity, was a pivotal driver. Production of raw phosphate jumped by 18.9%, as the global market tightened due to China’s ongoing export restrictions and new production capacities in DAP (Diammonium Phosphate) and TSP (Triple Superphosphate) came online.
Manufacturing also showed renewed strength, contributing 0.2 percentage points to overall GDP growth. Textiles and certain food industries saw a significant recovery, with their international sales reversing earlier declines.
The chemical sector, in particular, recorded a solid 9.7% growth, as falling import prices for key inputs like sulfur and ammonia provided a boost to profitability.
However, the outlook for the fourth quarter suggests more moderate growth, with GDP expected to rise by 2.5% year-over-year. Secondary sectors are projected to scale back their rapid expansion, while primary industries, including agriculture, are likely to remain under pressure.
Agriculture, which has struggled throughout the first half of the year, has been a notable drag on overall growth, and the sector’s difficulties are expected to persist through the end of 2024.