Bank Al-Maghrib reported that Morocco’s inflation dropped to 0.9% in 2024, with expectations to rise to around 2% in the next two years. Core inflation stood at 2.2%. Ongoing geopolitical tensions and agricultural supply issues pose uncertainties for future inflation rates. Financial experts predict an inflation rate of 2.2% over eight quarters and 2.4% over twelve quarters during 2025.
Bank Al-Maghrib (BAM) has reported a significant decrease in inflation in Morocco during 2024, with an average rate of 0.9%. This reduction follows two years of elevated inflation levels. Looking ahead, inflation is projected to rise moderately to approximately 2% over the next two years, as stated in a press release after the bank’s first quarterly meeting for 2025.
In terms of core inflation, BAM recorded a rate of 2.2% in 2024, which is expected to stabilize around the 2% mark in the medium term. Despite the optimistic forecasts, the bank cautioned that considerable uncertainties persist. These uncertainties are primarily linked to ongoing geopolitical tensions globally and their potential impact on international inflation rates, alongside domestic agricultural product supply fluctuations.
Moreover, the BAM Council highlighted that inflation expectations remain consistent. Financial sector experts anticipate an average inflation rate of 2.2% across eight quarters and a slight increase to 2.4% over twelve quarters by the first quarter of 2025.
In conclusion, Bank Al-Maghrib’s report illustrates a remarkable slowdown in inflation in Morocco during 2024, with an average rate of 0.9%. The outlook for the subsequent years suggests a rise to moderate levels around 2%. However, the forecasts are tempered by uncertainties related to geopolitical issues and agricultural product supply, with financial experts projecting stable inflation expectations into 2025.
Original Source: fesnews.media
