The National Bank of Morocco kept its benchmark interest rate unchanged at 2.25% at its June 23, 2026 meeting, marking a fifth consecutive decision to hold rates steady. Policymakers weighed persistent supply-chain disruptions against signs of improving economic conditions.
Annual inflation slowed to 1.2% in May, down from a more-than-one-year high of 1.7%. At the same time, energy and fuel prices jumped 27.6% year-on-year, and rising imported inflation is expected to add further upward pressure on domestic prices. Even so, inflation is projected to average 1.5% in 2026 and 2.1% in 2027.
Economic activity strengthened, driven by a rebound in agricultural production and sustained growth in non-agricultural sectors. Looking ahead, growth is expected to remain robust at 5.2%, although this is slightly below the previous forecast of 5.6%.
The central bank indicated that future monetary policy decisions will depend on the trajectory of inflation and economic growth, as well as geopolitical developments, which continue to pose risks to the outlook.
