Economic Growth Amidst Employment Challenges
As Morocco approaches its legislative elections scheduled for September 23, the annual report from the Economic, Social, and Environmental Council (CESE) reveals a profound dissonance within the kingdom's economic landscape. While the country boasts positive macroeconomic indicators, including a robust growth rate of 4.9% in 2025 and a remarkable surge in foreign direct investments (FDI) by 74.3%, the reality on the ground tells a different story. Despite these encouraging statistics, Morocco struggles to create jobs and reduce significant social and territorial disparities, highlighting a growing economic paradox.
The report emphasizes that while Morocco's macroeconomic health appears vibrant, with controlled inflation at 0.8% and a budget deficit maintained at 3.5% of GDP, the daily lives of its citizens reflect ongoing challenges. The tourism sector has seen record highs, nearing 20 million visitors, and the national industrial framework continues to evolve. However, the benefits of these investments seem to be disproportionately distributed, leading to a stark contrast between economic growth and employment generation.
Stagnant Unemployment Rates Amidst Investment
Despite a staggering 1,704 billion dirhams invested between 2021 and 2025, the net job creation stands at only 400,000, reflecting a structural shift toward capital-intensive sectors like automotive and aerospace, which do not require large workforces. Consequently, the unemployment rate remains stagnant at 13%, soaring to 37.2% among young people. This situation is exacerbated by systemic precarity, with nearly half of the workforce lacking formal contracts, revealing critical structural flaws within the labor market.
The report also highlights alarming territorial disparities, where the Casablanca-Rabat-Tanger corridor accounts for nearly 60% of national wealth, leaving numerous provinces marginalized from the prosperity that defines the urban centers. Although absolute poverty has decreased over the past decade, the CESE expresses concerns over the risk of intergenerational poverty, particularly in the most vulnerable regions. On the social front, while legislative and institutional advancements have made strides—such as increasing medical coverage to 88% of citizens and providing direct assistance to millions of households—the reality remains stark. Challenges such as shortages in healthcare personnel, rising living costs, and inadequate public services continue to undermine these achievements.
As Morocco gears up for the 2030 World Cup, an estimated 190 billion dirhams investment plan, predominantly financed through debt (89%), threatens to restrict private enterprises' access to credit. Meanwhile, demographic shifts are accelerating, with declining fertility rates and an influx of foreign residents, signaling a potential transformation into an immigration country as the population ages. The CESE's report encapsulates a critical moment for Morocco, where the development model faces pivotal challenges that could define its future trajectory.
As reported by fr.le360.ma.
