Morocco’s trade deficit increased by 5.2% to MAD 249.8 billion (USD 24.9 billion) as of the end of October 2024, compared to MAD 237.5 billion (USD 23.7 billion) a year earlier, according to data released by the Office des Changes, the country’s foreign trade watchdog.
Over the first 10 months of 2024, imports rose 5.8%, reaching MAD 623.4 billion (USD 62.3 billion).
The rise was driven by heightened purchases of finished equipment goods, which grew 11.6%, fueled by strong demand for utility vehicles and electrical components. Meanwhile, imports of consumption goods climbed 8.6%, triggered by higher spending on pharmaceuticals and passenger vehicle parts.
Exports increased by 6.2% to MAD 373.5 billion (USD 37.3 billion), up more than MAD 21.9 billion more than last year.
Key sectors such as automotive and phosphates bolstered export performance. Automotive exports rose by 8% to MAD 131.4 billion (USD 13.1 billion), while phosphate and derivative exports surged 12.5%, benefiting from a significant uptick in sales of natural and chemical fertilizers.
Despite the rise in exports, Morocco’s coverage ratio—a measure of exports as a percentage of imports—improved only marginally by 0.2 points to 59.9%.
Energy imports dropped 5.5%, reflecting lower coal and gas imports, yet the savings were insufficient to offset overall growth in other categories. Meanwhile, imports of raw materials fell 1.4%, with declines in soybean oil and sunflower oil contributing significantly.
Morocco’s service exports, including travel and tourism, fared better, growing 16% to MAD 17 billion (USD 1.7 billion), but an increase in service imports diluted their net impact.
After peaking at record-high levels in 2020 (at more than 50% due to the global economic crisis), Morocco’s trade imbalance shows strong signs of recovery in 2024.
Bank Al-Maghrib, Morocco’s central bank, anticipates further stabilization in the medium term. Following a contraction in 2023, trade activity is expected to rebound, with imports projected to grow by 5% in 2024 and an additional 9% in 2025, potentially easing the country’s trade deficit.