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Casablanca – African sovereign borrowing is expected to remain high in 2026, with Morocco among the key players shaping regional debt trends, according to a new S&P Global Ratings report.
The report estimates that African governments will raise about $155 billion in gross commercial borrowing next year, broadly in line with previous years. Morocco is listed alongside Egypt and South Africa as one of the continent’s main issuers, reflecting its relatively stronger market access and more developed financial system compared to many peers.
For Morocco, the numbers show a steady but active presence in international and domestic markets. Data in the report indicates the country’s long-term commercial borrowing has fluctuated over recent years, reaching around $14.6 billion in 2026 after higher levels in 2023 and 2025.
That places Morocco firmly among Africa’s most consistent borrowers, even as overall issuance across the continent remains constrained by smaller banking systems and limited savings in many countries.
Morocco among top issuers
S&P analysts point out that Morocco benefits from long-standing access to financial markets and a relatively diversified investor base. These factors help it maintain borrowing levels even as global conditions shift.
Still, the broader environment is far from stable. The report points to risks tied to geopolitical tensions, especially in the Middle East, which could disrupt supply chains and push up energy prices. That matters for Morocco, like many African economies, because higher import costs can strain public finances.
At the same time, improving global liquidity and a weaker US dollar could offer some relief. These conditions tend to lower borrowing costs and make it easier for countries like Morocco to refinance debt or issue new bonds at better rates.
Across Africa, total commercial debt is projected to rise to about $1.2 trillion by the end of 2026. Yet issuance remains small relative to global markets, often reflecting structural limits rather than a lack of demand.
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Morocco’s debt structure also shows a relatively low share of short-term obligations compared to many peers, which reduces rollover risk. According to the report’s breakdown of debt composition, the country relies significantly on longer-term instruments and maintains a balanced mix between local and foreign currency borrowing.
Even so, challenges remain. Like others in the region, Morocco faces exposure to currency volatility and external shocks. Market access can improve quickly, but it can also tighten just as fast when global conditions shift.
For now, though, Morocco appears set to remain one of Africa’s most stable and active sovereign borrowers, navigating a complicated landscape with a mix of caution and consistency.
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