The outlook for Morocco depends on its success in pushing through its reform agenda. Meanwhile risks remain from global economic conditions, and high unemployment.

Economic risk (MEDIUM): The economic recovery is still on track for recovery but with a shallower short-term recovery. The downgrade by Moody’s has put the scal outlook in the spotlight.

Political risk (MEDIUM): Protest over high prices and unemployment are a reminder of the threat of social tensions. Morocco ranks 100th out of 165 countries in the Democracy Index 2018 by the Economist Intelligence Unit.

Financial risk (LOW): The Moroccan nancial sector is well capitalised and resilient but signi cant risk exposures remain. Banks need to strengthen their capital bu ers to meet new IFRS9 rules.

Commercial risk (MEDIUM): The ease of doing business has improved in a number of facets while none has worsened.