Akhannouch: Fuel Prices Expected to Stabilize Soon
The Head of Government, Aziz Akhannouch, stated that the current governmental management has successfully absorbed a significant portion of consecutive economic shocks, highlighting a notable improvement in inflation-related indicators despite a challenging international context.
A Complex Global Economic Context
These statements were made during a session dedicated to reviewing the interim results of government action at the House of Representatives this Tuesday. Akhannouch reminded attendees that the situation facing the country is unprecedented, marked by the combined effects of the COVID-19 pandemic, the war in Ukraine, and drought, which are exerting substantial pressure on the national economy.
Significant Decrease in Inflation
Despite these constraints, the Head of Government indicated that the economic policies implemented have led to a significant reduction in the inflation rate, which has dropped from 6.6% to 0.8%. He believes this trend reflects the government’s ability to maintain a degree of price stability.
The Impact of Geopolitical Tensions
Regarding the international situation, Akhannouch discussed geopolitical tensions in the Middle East, particularly relating to Iran, describing them as temporary factors likely to have limited long-term repercussions on global markets, including the energy sector.
The Fuel Pricing Issue
Concerning fuel prices, he emphasized that current levels are not exceptional compared to certain periods in the past, recalling that they previously reached between 16 and 17 dirhams before dropping back to around 10 dirhams.
He also stressed that the government does not control certain major geopolitical parameters, such as the Strait of Hormuz, considered a strategic route for global energy supply. Any disruption in this area directly impacts international markets.
Toward a Return to Normalcy
In conclusion, Akhannouch expressed confidence in a forthcoming return of fuel prices to more normal levels, asserting that their trends remain linked to external temporary factors and fluctuations in global markets.
