World Bank Report: Stabilizing Growth, but at a Slow Pace
The World Bank has recently published a report titled "Stabilizing Growth, but at a Slow Pace".
Tunisia and Morocco: A Tale of Two Economies
According to the report, Tunisia's economy is expected to rebound, with a growth rate of 2.4% per annum in 2024-2025, assuming an alleviation of the recent drought, more favorable financial conditions, and progress in fiscal reform and competition agendas.
In Morocco, growth is expected to slow down to 2.4% in 2024, with a decline in agricultural production partially offset by a strong performance in the industrial sector, including construction, following a massive earthquake last year. Morocco is expected to continue with fiscal consolidation and reduce its fiscal deficits.
Regional Outlook: A Glimmer of Hope
In 2025, a slight reduction in fiscal deficits is forecasted for the region, partly due to an increase in oil revenues and progressive fiscal consolidations in several countries, including Algeria, Egypt, and Jordan.
Real GDP Growth: A Mixed Bag
In terms of real GDP growth, Tunisia is expected to experience a growth rate of 2.4% in 2024, the same rate projected for Morocco. On the other hand, Algeria is expected to record a stronger growth rate of 2.9%.