Morocco

November 2006 | Risk Summary

Given Morocco's impressive economic development and rising per capita incomes, we believe that risks remain generally to the upside. It is true that a strong showing for the PJD in the 2007 parliamentary election could cause policy uncertainty in the short-term, it is not necessarily a major risk to stability as some fear. Experiences in Turkey for example suggest that Islamist parties may be even more progressive in the economic sphere than typically assumed. Indeed, it would boost our structural political ratings for the country, in raising the country's grade in the fields of democracy and institutions.

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