Morocco to record 6.8% growth rate

The Moroccan government said it was optimistic about the economic growth of the Kingdom, which should record about 6.8% in 2008, despite the international financial crisis.

Speaking at the council of the government on Thursday, Moroccan Finance Minister Salaheddine Mezouar gave the assurance that the country was "safe" from the sub-prime crisis that has been shattering the American market, for a few months, then extended to other money markets, taking "alarming" proportions since Monday.

Morocco is not connected to the financial institutions or international investment funds involved in the sub-prime crisis, the Minister stated, all the more so as fixed rates dominate the credit system in the Kingdom.

Since last week, the Casablanca Stock Exchange suffered a real "cataclysm", which translated into a fall of some 15% in four days of trading, so much so that the business media of the country had asked the authorities to set the records straight to avoid "panic".

The Moroccan Finance Minister said that the drop is "a simple correction" which has nothing to do with the recent international financial instabilities.

In spite of the price hikes of oil, which Morocco entirely imports (over 6 million tons per annum) and the price hike of foodstuffs, the government is banking on a GDP growth rate exceeding 6% (which adds up to about US$ 70 billion) in 2008.