According to the report, the deceleration in Morocco's economy was primarily due to divergent performances across various sectors, notably showing weaknesses in agriculture and manufacturing.

Morocco's economy experienced a slowdown in the first quarter of 2024, according to a new government report. GDP expanded by 2.5%, down from 3.9% recorded in the same period last year. The report from Morocco’s Higher Commission of Planning highlighted a significant contraction in agriculture, where the added value decreased by 4.3%. Non-agricultural activities, however, increased by 3.2%, contrasting with a 5% decline in the agricultural sector.

The deceleration was attributed to varied performances across sectors, with weaknesses observed in agriculture and manufacturing. Agriculture specifically saw a 4.3% decline in added value, marking a reversal from previous growth. In contrast, the fishing industry rebounded with a 10% increase after a decline in the previous year.

The secondary sector, encompassing industries producing usable products and construction, showed resilience with a 3.6% increase in added value. Manufacturing growth slowed to 2.1% from a higher rate previously, while the extraction industry surged by 17.7%, a significant improvement.

Construction and utilities also saw growth, reversing previous declines, with construction up by 2.5% and utilities by 3%. However, the tertiary sector, which includes services, experienced a drop in growth to 3% from 6% the previous year. This was influenced by slower growth in financial services, transport and storage, and other services like education and health.

The slowdown was partially offset by strong domestic demand, which increased by 3.6% compared to a minimal rise the year before, contributing significantly to overall economic growth. Household consumption grew notably, while public consumption slowed slightly.