Country Selection and Initial Analysis Essay Example | Topics and Well Written Essays - 500 words

Country Selection and Initial Analysis - Essay Example The services sector has the largest contribution of 51% approximately (estimated 2010). The population growth rate is just over 1%, which should be viewed as reasonably well for a Muslim majority emerging nation. The currency is known as Moroccan Dirham (MAD) that fluctuates against US dollar because of changes in global economy. However, the exchange rate prevails between 8 – 9 Dirham / US dollar at present. The GDP per capita was around $4,900 according to 2010 statistics (CIA Fact Book, 2010) It should also be highlighted that the recent floods in Morocco damaged its agricultural crops as the area under cultivation reduced by significant 25 – 30%. As a result, the production of wheat, barley, vegetables and other grains reduced considerably whereas the demand increased due to rise in population. Nonetheless, the government authorities were left with no other option but to increase imports from self-sufficient nations so that they could stabilize wheat prices across M orocco (Reuters Africa, 2010). It should be noted that domestic wheat consumption in Morocco has been estimated to be nearly 8.3 million tons and the shortages resulted in 47% hike in wheat prices (Weisenthal, 2011). The price surge was mainly the outcome of shortage amid price inelastic demand of food products as they are necessities.