Morocco's economic growth rate decreased to 4% in the second quarter of 2026, compared to 5.8% in the same period of 2025, according to the Haut-commissariat au plan (HCP). The slowdown is attributed to a decline in non-agricultural activities, which grew at a rate of 1.5%, down from 4.9% in the previous year. The HCP noted that the economy is experiencing a context of controlled inflation and increased need for financing. The agriculture sector played a significant role in supporting the economy during this period.
The agriculture sector witnessed a remarkable rebound, with its value added increasing by 21.2% in the second quarter of 2026, compared to 8.3% in the same period of 2025. The sector's growth was driven by a 21.2% increase in agricultural activity and a 15.9% rise in fishing activities, reversing the 8.5% decline recorded in the previous year. The HCP reported that the primary sector's value added grew by 20.9% in the second quarter of 2026, up from 7.6% in the same period of 2025.
In contrast, the secondary sector experienced a significant decline, with its value added contracting by 3.9% in the second quarter of 2026, compared to a 5.8% growth in the same period of 2025. The decline was attributed to a decrease in the extractive industry and manufacturing sectors, which fell by 28.6% and 3.2%, respectively. The construction sector also slowed down, growing at a rate of 2.8%, down from 7.6% in the previous year.
The tertiary sector's growth rate slowed down to 4% in the second quarter of 2026, compared to 4.5% in the same period of 2025. However, certain activities within the sector experienced growth, including financial services and insurance, which increased by 7.7%, and education, healthcare, and social activities, which grew by 6.4%. The information and communication sector also saw a 1.9% growth, up from 0.3% in the previous year.
The HCP reported that domestic demand was the main driver of economic growth in the second quarter of 2026, increasing by 5%, down from 7.5% in the same period of 2025. The consumption of final goods and services by households grew by 4.1%, contributing 2.3 points to economic growth. The consumption of final goods and services by public administrations increased by 4.6%, contributing 0.8 points to growth.
The investment growth rate slowed down significantly, decreasing from 20.3% in the second quarter of 2025 to 6.8% in the same period of 2026. The contribution of investment to economic growth fell from 8.3 points to 2.4 points. The HCP also reported that the national savings rate stood at 30.6% of GDP, while the investment rate represented 35.6% of GDP, resulting in a financing need of 5% of GDP.
The economic slowdown in Morocco is expected to have implications for the country's overall growth trajectory. The HCP's report highlights the need for policymakers to address the challenges facing the economy, particularly in the non-agricultural sectors. The sectoral growth rates and financing needs will likely be closely monitored by stakeholders to assess the economy's resilience and potential for recovery.
Key points
- Morocco's economic growth slows to 4% in Q2 2026.
- Agriculture sector sees significant growth, increasing by 21.2%.
- Domestic demand drives economic growth, but investment growth slows down.
