Economy worth Rs 23 thousand crores ruined due to earthquake in Morocco! - Newztezz Online


Sunday, September 10, 2023

Economy worth Rs 23 thousand crores ruined due to earthquake in Morocco!

USGS has said that huge damage is expected to the Moroccan economy. Due to the earthquake, the country's economy may suffer a loss of 2 percent of the total GDP. However, the country's GDP has been up and down in the last few years.

More than 2000 people lost their lives in the worst earthquake in 120 years in Morocco, North Africa. Properties have been destroyed. People have suffered a lot. Many historically important ancient buildings of this country have been destroyed. Talking about the economy, the American agency has estimated that there will be a loss of two percent of Morocco's total GDP. Whose value is being estimated at around Rs 23 thousand crores in Indian rupees. If experts are to be believed, the loss could be much greater. Let us also tell you what is the current economy of Morocco and how much loss has been estimated and how has been the economy of Morocco in the last few years?

Morocco's economy is zigzagging

At present, Morocco's economy is estimated to be 138 billion dollars. It is the 61st largest economy in the world. If we talk about the last five years, there have been ups and downs in Morocco's GDP. According to the report of Macro, Morocco's economy was worth $134.18 billion in the financial year 2022, which was 6 percent less than the previous year 2021. In the year 2021, the country's economy was worth 142.87 billion dollars. The surprising thing is that this figure was about 18 percent more than that of 2020. Morocco's GDP in 2020 was $121.35 billion, which was about 6 percent less than in 2019. If we look at the GDP data of 2019, it was 128.92 billion dollars, which was 1.24 percent more than 2018.

How were the first quarter figures?

Morocco World News reports that according to data from the High Commission of Planning, Morocco's economic growth had seen an improvement of 3.5 percent during the first quarter of 2023, whereas in the same period last year this growth was no more than 0.5 percent. . In fact, this increase was seen due to 6.9 percent growth in agriculture and 3.2 percent growth in non-agri. HCP data shows that it has seen an improvement of 53.9 percent instead of 31.6 percent in hotels and restaurants, and 7.1 percent improvement in transport and storage instead of 2.3 percent. Financial and insurance services have seen a growth of 5.4 percent instead of 4.5 percent and services provided under public administration and social security have seen a growth of 4.6 percent instead of 4.5 percent.

What were the projections for Morocco's economy?

News agency MAP, citing forecasts from the country's 2024-2026 budget program, said that Morocco's economy is expected to grow by 3.7 percent in 2024. According to Moroccan representative-in-charge Minister Fauzi Lexja, the forecast may be revised if there is a further recession in the global economy. Especially when central banks around the world are increasing interest rates along with the impact of the Russia-Ukraine war on commodity prices and global supply chains. Lexja had said that according to the forecasts of the budget program for 2024-2026, Morocco's economy is expected to grow by 3.7 percent, 3.6 percent and 4 percent respectively in the coming three years. These estimates were made on the basis of the estimated inflation rate in the country. According to the report, the country's inflation is estimated to be limited to 3.4 percent in 2024. At the same time, inflation rate of less than 2 percent has been estimated in both 2025 and 2026.

How much damage did the earthquake cause to Morocco?

The US Geological Survey has issued a red alert for economic losses due to the Morocco earthquake. According to the Wall Street Journal, the USGS has said that the earthquake is likely to cause massive damage and the disaster is likely to be widespread. The USGS said the estimated economic loss could be up to 2 percent of Morocco's total GDP. At present, Morocco's total GDP is 138 billion dollars, which is 2.76 billion dollars. If it is seen in Indian rupees then there could be a loss of up to Rs 23 thousand crores.

Economy is continuously falling

According to the Wall Street Journal, Morocco is already going through an economic crisis. According to the World Bank report, real GDP growth between 2021 and 2022 fell from 7.9 percent to an estimated 1.2 percent. International lenders have also expressed a lot of concern on the inflation front. According to the World Bank report, core inflation had increased to 8.5 percent in February this year, which had an adverse impact on poor families.

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