In addition, ongoing wars and geopolitical tensions continue to have a negative influence on the business environment and long‑term investment flows. For example, projections for Morocco indicate economic growth surpassing the regional average, with GDP expected to expand by around 3.5 % in 2026, reflecting both an improvement in climatic conditions after a period of drought and stabilization in key sectors of the national economy. This economic diversification, particularly in services, construction and tourism, has contributed to strengthening the region’s economic resilience despite persistent external risks. This is particularly relevant for countries such as Egypt, Tunisia and Morocco, which traditionally benefit from close economic relations with their Middle Eastern neighbors. Moreover, continued volatility in energy prices and persistent uncertainty in global markets could limit the ability of these economies to attract sustainable foreign direct investment.

Source: The North Africa Journal February 05, 2026 13:15 UTC