Morocco's Business Confidence Plummets Amid COVID-19 Economic Fallout
Morocco’s business climate has seriously deteriorated due to the health crisis related to the coronavirus.
According to this new index measuring quarterly the confidence of Moroccan business circles, the aggregate index of the current situation and the 6-month outlook indicates particularly low confidence and a pessimistic view of Morocco’s economic development, at 40.8 points (an indicator below 100 points is a contraction) for the second quarter of 2020, reports Hespress.
In detail, the index of the current situation is around 25 points, which represents a very negative assessment of the current economic situation among decision-makers. As for the economic outlook for the next 6 months, the index is estimated at 58.6 points, a little more optimistic than the current situation. However, it is still below expectations.
The Morocco Business Climate Index (CAM) is a monitoring, evaluation and decision-making tool for private and public decision-makers and financial markets, launched by Euros/Agency Africa, a public affairs, influence and communication agency, and Insightek, a market research firm.
According to these organizations, about 1,000 Moroccan business leaders of varying sizes, representing all sectors of activity, were surveyed for this index with a response rate of 15% and representing 80% of the sectors of activity. The initial results suggest a situation of "near-shutdown of the economy, against the backdrop of a blockage related to the coronavirus pandemic".
