In its assessment report, Moody’s emphasizes that the “positive outlook” reflects the gradual improvement in Morocco’s economic and fiscal strength, which is likely to further reinforce its credit profile and pave the way for an upgrade should this momentum continue, the ministry said in a press release.
Although per capita income remains lower than that of higher-rated countries, the agency believes that the combination of stronger growth, increased economic diversification, and high levels of investment suggests a structural improvement in Morocco’s growth profile.
The agency highlights in particular that non-agricultural growth has accelerated steadily in recent years and is expected to exceed 5% in 2025, reflecting reduced dependence on more volatile agricultural production and ensuring more stable and predictable growth in the future.
Moody’s also anticipates that relatively high growth momentum will be maintained, supported by significant public and private investment, particularly in transport, logistics, energy, and water infrastructure, as well as continued reforms aimed at improving the business environment and attracting more investment.
The agency also notes that improved fiscal performance is another factor supporting this positive outlook, as it should help contain the debt burden in the medium term, despite persistent pressures related to social spending and investment needs.
It further considers that the public debt burden could decline more than expected if these budgetary results are confirmed and growth momentum is maintained.
In this context, improved growth prospects and the pursuit of a prudent fiscal policy should strengthen confidence in Morocco’s ability to address these challenges while preserving sufficient fiscal space to meet social needs and development investments.
A Ba1 rating from Moody’s is the highest rating in the “speculative grade” category, indicating obligations with moderate to substantial credit risk.
