
Morocco Risk May 2018
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 steeper short-term slowdown and stronger long-term growth. It is vulnerable to negative changes in the global economy and financial system.
Political risk (MEDIUM): A fresh outbreak of protests in the north of the country over poverty are a reminder of social tensions. The successful formation of a government under Saadeddine El Othmani ends months of political stalemate.
Financial risk (LOW): The Moroccan financial sector is well capitalised and resilient but significant risk exposures remain. A long delayed sukuk issuance is now imminent.
Commercial risk (MEDIUM): The ease of doing business has improved in a number of facets and the progressive corporate tax system will help smaller businesses.