Poverty and unequal wealth distribution remain some of Morocco’s biggest socio-economic issues.
Rabat – About 75% of Moroccan adults have a net worth of less than $10,000 (around MAD 90,000), counting both financial and material assets. The statistics appeared on the 2019 Global Wealth Report, published by Credit Suisse Research Institute on October 21.
The report detailed wealth distribution in Morocco. Out of the 23.6 million adults in Morocco, 75.5% have a net worth of less than $10,000 (around MAD 90,000). Around 23.6% are worth between $10,000 and $100,000, and 1.3% have a net worth ranging between $100,000 and $1,000,000. Finally, only 0.1% of Moroccan adults are worth more than a million dollars.
The document estimates the average net worth of Moroccan adults to $12,929. The average includes $3,494 of financial wealth, $10,757 of non-financial wealth, and $1,322 of debts. The average net worth of Moroccan citizens recorded a growth of 2.5% between 2018 and 2019.
The exchange rate of the Moroccan currency to US Dollars went down by 0.9% in 2019, adds the report.
In Africa, about 88.5% of adults have a net worth of less than $10,000, and only 0.6% have a net worth ranging between $100,000 and $1,000,000.
Globally, the report notes that global wealth grew by 2.6% in 2019 to reach $360 trillion. The US, China, and Europe are the highest contributors to this growth with $3.8 trillion, $1.9 trillion, and $1.1 trillion respectively.
The average adult net worth globally has also reached a new record of $70,850.
While the average might seem high, it does not reflect the disparities in wealth distribution around the world. The global wealth pyramid contained in the report shows that 0.9% of adults around the world own around 43.9% of the total world wealth. On the other hand, 56.6% of the population share only 1.8% of the global wealth.
The report classed Morocco in the “poor countries” category, reflecting the average net worth of Moroccan households.
In September 2019, the World Bank also published a report that highlights the financial situation of Moroccans. According to the report, around 9 million Moroccans (24% of the Moroccan population) are poor or at risk of poverty.
In January 2019, Morocco’s High Commission for Planning (HCP) published the results of a household survey for the fourth quarter of 2018. The report stated that around 38% of Moroccan families go into debt or use their savings to cover their expenses. The document also mentioned that only 4.4% of Moroccan families are able to put a part of their income into savings.