The High Planning Authority forecast on Monday that Morocco's economic growth will slow to 3% in 2027, compared to 4.8% expected this year, despite expectations of a declining fiscal deficit.

The forecasts are based on the assumption that grain production will return to its average level in 2027, after the strong recovery in the agricultural sector this year thanks to heavy rainfall, according to the authority's report.

The authority also forecast a widening of the current account deficit to 3.9% of GDP in 2026, compared to 2.4% last year, before slightly declining to 3.6% in 2027, due to weak external demand for Moroccan goods amid slowing global trade growth.

In contrast, the authority projected that the fiscal deficit would fall to 3.2% of GDP in 2027, compared to 3.4% in 2026, supported by higher tax revenues expected to offset increased government spending.

Similarly, the authority forecast a slight decline in public debt to 76.1% of GDP in 2027, versus 76.5% in 2026.