<hdr>The World Factbook 1994: Morocco<nl>Economy</hdr><body>
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<item><hi format=bold>Overview:</hi> Morocco faces the typical problems of developing countries—restraining government spending, reducing constraints on private activity and foreign trade, and keeping inflation within bounds. Since the early 1980s the government has pursued an economic program toward these objectives with the support of the IMF, the World Bank, and the Paris Club of creditors. The economy has substantial assets to draw on: the world's largest phosphate reserves, diverse agricultural and fishing resources, a sizable tourist industry, a growing manufacturing sector, and large remittances from Moroccans working abroad. However, a severe drought in 1992-93 has depressed economic activity and held down experts. Real GDP contracted by 2.9% in 1992, and growth for 1993 is estimated at only 2%. Despite these setbacks, initiatives to relax capital controls, strengthen the banking sector, and privatize state enterprises went forward in 1993. Servicing the large debt, high unemployment, and vulnerability to external economic forces remain long-term problems for Morocco.
<item><hi format=bold>National product:</hi> GDP—purchasing power equivalent—$70.3 billion (1993 est.)
<item><hi format=bold>National product real growth rate:</hi> 2% (1993 est.)
<item><hi format=bold>National product per capita:</hi> $2,500 (1993 est.)
<item>• <hi format=ital>consumption per capita:</hi> 317 kWh (1992)
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<item><hi format=bold>Industries:</hi> phosphate rock mining and processing, food processing, leather goods, textiles, construction, tourism
<item><hi format=bold>Agriculture:</hi> accounts for 14% of GDP, 50% of employment, and 30% of export value; not self-sufficient in food; cereal farming and livestock raising predominate; barley, wheat, citrus fruit, wine, vegetables, olives
<item><hi format=bold>Illicit drugs:</hi> illicit producer of hashish; trafficking on the increase for both domestic and international drug markets; shipments of hashish mostly directed to Western Europe; occasional transit point for cocaine from South America destined for Western Europe.
<item><hi format=bold>Economic aid:</hi>
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<item>• <hi format=ital>recipient:</hi> US commitments, including Ex-Im (FY70-89), $1.3 billion; US commitments, including Ex-Im (1992), $123.6 million; Western (non-US) countries, ODA and OOF bilateral commitments (1970-89), $7.5 billion; OPEC bilateral aid (1979-89), $4.8 billion; Communist countries (1970-89), $2.5 billion
<item>• <hi format=ital>note:</hi> $2.8 billion debt canceled by Saudi Arabia (1991); IMF standby agreement worth $13 million; World Bank, $450 million (1991)
