MRE: billions that boost the banks, but not the economy

Despite their continued increase, transfers from Moroccans living abroad (MRE) do not contribute to Morocco’s economic growth, reveals a recent government report, noting that the portion of these funds dedicated to investment remains insignificant.

MRE fund transfers increased from 60 billion dirhams in 2019 to 115.3 billion in 2023, and are expected to reach 120 billion dirhams in 2024. But Morocco does not benefit from these funds, the majority of which is directed towards consumption and savings, and a tiny part of productive investment, indicates the report, specifying that transfers from MRE represent more than 7% of GDP of the kingdom and contribute to stabilizing the dirham, strengthening foreign currency reserves and reducing the trade deficit.