Nomura forecasts 7 percent economic growth in Morocco
Morocco, Economics, 8/10/1998

The Moroccan economy is expected to grow by 7 percent in 1998 after it fell by 2.2 percent last year due to weather changes, the London-based Nomura brokerage house said.

In a report cited Friday by Moroccan "Alam" daily, Nomura said the shares traded at the Casablanca stock market will rise by 33 percent in 1998 against 49 percent in 1997.

The average earning per share (EPS) will also grow by 19 percent in 1998 and 16.4 percent in 1999 compared with 18.8 percent and 30 percent in 1997 and 1996 respectively, the report said. "With an inflation rate that is one of the lowest in the area (1.0 percent in 1997) the gap in real earnings growth between Morocco and other Middle East and North Africa markets becomes even wider," it said.

The Moroccan banks, which represent more than 30 percent of the bourse's capitalization, will see their EPS growing by 10.6 percent in 1998 and 13.6 percent in 1999, the Nomura experts said.

The Casablanca bourse, which is capitalised at $15.2 billion, is however underinvested by foreign investors who possess only 5 percent of the shares, or $758 million compared with 25 percent for Egypt.

Previous Stories:
  Cereal harvest reaches 63.5 mln quintals   (8/5/1998)
  Moroccan FM asks unions to respect previous agreements   (7/8/1998)
  Morocco's trade deficit down 14.3 percent first two months   (7/4/1998)

Please add a link on your webiste pointing to ArabicNews.com and bookmark ArabicNews.com & subscribe to our daily email news bulletin.

Search