By Loubna Flah
Morocco World News
Casablanca, July 26, 2013
Morocco’s economic growth slowed down in the second quarter of the current year, as it grew by 4. 3% only in the second quarter compared to 4.8% recorded in the first quarter.
The rate of expansion seen in the first quarter of the year 2013 was enabled by the high added value of agricultural output.
The High Commission for Planning has revised its initial figures that estimated the growth in the second quarter of 2013 to 4, 8%. The figure was later reduced to 4, 2 % showing that economic growth is still sluggish.
As a precautionary measure, Morocco reduced the volume of its imports, which has narrowed the trade deficit by 5. 3% as the volume of imports decreased by 3. 2 %.
The Moroccan economy for the current year is marked by a considerable slowdown caused by the high cost of energy imports and the decrease in exports.
The financial crisis in Europe has not spared the Moroccan economy since the European Union remains one of Morocco’s largest trading partners.
In its latest report, Morocco’s central bank, Bank Al Maghrib revealed that the delay of structural and economic reforms especially those concerning the compensation fund and the tax system has deeply affected the national economy.
Economic experts expect Morocco to enter into another stagnation phase marked by a steep decrease in domestic demand for petroleum products in addition to an abrupt drop in demand for building material and a fall in the amount of loans attributed to Morocco by international institutions.