Morocco’s Inflation Falls to a Five-Year Low in 2025

Morocco’s inflation slowed sharply in 2025, reaching its lowest level in five years, signaling easing price pressures and improved stability in the domestic economy.

Official data showed annual inflation at around 0.8%, well below earlier expectations, supported by modest increases in food and non-food prices, which helped contain overall living costs.

On a monthly basis, prices contracted in December, driven by falling food prices, reflecting better supply-demand dynamics after several years of volatility.

This positive performance in Morocco’s inflation was partly supported by government measures, as the state spent billions of dollars in recent years to stabilize prices of key goods and provide direct support to households.

Inflation trends over recent years highlight a clear decline compared with peaks seen in 2022 and 2023, positioning Morocco among countries with relatively low inflation rates in the region.

Despite the slowdown, Bank Al-Maghrib expects inflation to pick up gradually in the coming period while remaining within target levels, supported by a recovery in agriculture and improved weather conditions after years of drought.