Middle East conflict poses long-term economic challenges, says expert Ahmed Khalid Benomar
via Le Matin6 min read
Economist Ahmed Khalid Benomar states that the Middle East conflict presents a significant, enduring challenge to global economies, moving beyond immediate effects to question their ability to withstand external crises without destabilizing internal balances. Speaking on "L'Info en Face," Benomar noted that there are no ideal solutions to the conflict's instability, only less unfavorable ones aimed at limiting damage. He explained that the war is not merely an additional tension but fundamentally redefines macroeconomic forecasts and undermines economic benchmarks established before the conflict. Benomar suggests that the impact, particularly on energy, inputs, logistical costs, and economic expectations, is becoming more pronounced, with April potentially being more challenging than March. He believes Morocco faces this period with real exposure but also with solid foundations. These foundations include a clear strategic vision, guided by a new development model and long-term planning, which he considers a luxury in an uncertain environment. He emphasizes that ongoing reforms, especially concerning the social state, strengthen the Kingdom. Morocco's macroeconomic base remains robust, with growth forecasts around 5% for 2025 and 2026, and a significant drop in inflation to -0.6% in February 2026. Sectoral data also shows positive trends: 4.1% growth in manufacturing, 7% in mining, and approximately 20% in tourist arrivals. While these figures do not guarantee immunity, they i
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Abdellatif Jouahri, Wali of Bank Al-Maghrib, is advocating for economic performance to serve as a key driver for improving the living conditions of Moroccans. Citing a 4.9% growth in 2025, controlled inflation, and robust public finances, Jouahri believes that Morocco possesses a strong foundation to expedite necessary reforms.
Morocco is actively promoting its aerospace industry, aiming to attract high-value-added investments and solidify its position as a leading aeronautical platform. This initiative aligns with the vision of His Majesty King Mohammed VI. The Moroccan Agency for Investment and Export Development AMDIE showcased the country's mature ecosystem at a British exhibition, highlighting its integrated industry, skilled workforce, and competitive offerings for international clients. Ali Seddiki, AMDIE's Director General, stated that Morocco's participation marks a new phase in its industrial development, driven by the King's impetus, which has transformed the aerospace ecosystem. The country seeks to present new investment opportunities, particularly in aircraft engines and landing gear, to international manufacturers. Seddiki noted that Morocco has built a quality aerospace ecosystem over nearly two decades and is now entering a new era focusing on these high-value areas. He emphasized Morocco's role in the global aerospace sector, especially during challenging times for major manufacturers, by creating significant added value. The Moroccan aerospace sector is experiencing rapid growth, with annual revenue increases exceeding 20% and nearly 160 international companies established in the country. New industrial ecosystems, such as those around Safran's LEAP engine and landing gear, are fostering deeper industrial integration. Maria El Filali, Director General of the Moroccan Aerospace Ind
Bank Al-Maghrib's 2025 annual report emphasizes the need for more precise targeting of public aid in Morocco to balance social justice and public finance sustainability. The central bank notes significant disparities in living standards, with the wealthiest 20% of households spending over seven times more than the poorest 20%, and considerable gaps between urban and rural areas. The report highlights that universal subsidy mechanisms, such as the 18 billion dirhams spent on compensation in 2025, often benefit wealthier households due to their higher consumption levels. Similarly, the effectiveness of over 32 billion dirhams in tax expenditures, while sometimes having economic or social objectives, requires regular evaluation. Bank Al-Maghrib argues that improving aid targeting is not about reducing solidarity efforts but about optimizing public resources to primarily benefit those most in need. This approach is crucial as public spending is expected to rise due to expanded social protection, public service development, and upcoming reforms like pensions. The bank stresses the importance of preserving budgetary margins, as some exceptional revenues supporting public finances in recent years may not be sustainable. The report recommends general public expenditure reviews and systematic policy evaluations to optimize resource use, ensuring sustainable funding for social priorities without compromising budget stability. Ultimately, Bank Al-Maghrib supports Morocco's commitment to