Country Focus 6 of 11

World Bank update puts Morocco's real GDP growth at an estimated 4.9 per cent and the budget deficit at 3.5 per cent of GDP

The World Bank released the Morocco Economic Update summer 2026 edition, subtitled Cementing Growth, Digital Transformation as a Productivity Impulse, from Rabat on 23 July 2026. Real GDP growth reached an estimated 4.9 per cent in 2025. Growth is projected to remain solid at 4.2 per cent in 2026. The budget deficit narrowed to 3.5 per cent of gross domestic product. Broader measures of labour underutilisation reached 22.5 per cent. The update links the expansion to a surge in public investment tied to preparations for the 2030 FIFA World Cup.

Report: Morocco Economic Update summer 2026 edition Real GDP growth, 2025: An estimated 4.9 per cent Growth projection, 2026: 4.2 per cent Budget deficit: 3.5 per cent of GDP Labour underutilisation: 22.5 per cent
Why it matters for exams: A named World Bank country report with its growth, deficit and labour figures is exactly the kind of source an economy question is built on.
Kerala PSCUPSC
18 October 2026 Source: World Bank

In plain words

Labour underutilisation Labour underutilisation — A broader measure than unemployment, counting the underemployed and people available for work but not actively searching.

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