(Ecofin Agency) - The Organization expects a decrease in the country's public debt-to-GDP ratio and a continued decline in inflation this year and next.

The Organization for Economic Co-operation and Development (OECD) forecasts Morocco’s economy will grow by 3.5% in 2024 and 4% in 2025, up from 3.5% in 2023, according to a report released on September 11, 2024.

This growth is expected due to increased investments and strong export performance. The OECD report notes that Morocco’s public debt-to-GDP ratio should gradually decrease as the budget deficit narrows, with the ratio projected to fall from 69.5% in 2023 to 68.9% in 2024 and 68.2% in 2025. Inflation, which has eased due to a global reduction in food price pressures, is also expected to continue its decline, from 6.1% in 2023 to 2.3% in 2024, and further to 2% in 2025.

The report advises Moroccan authorities to tackle the widespread informal sector by improving incentives to work in the formal economy and enforcing regulations more strictly to boost business performance.

It also suggests that increasing labor productivity could be achieved by enhancing workforce skills, making public investment more efficient, boosting competition, ensuring fair business practices, and intensifying efforts to combat corruption.