Effect of Covid-19 on Morrocan Economy Question 2022

Running head: EFFECT OF COVID-19 ON MORROCAN ECONOMY
Effect of Covid-19 on Morrocan Economy
Name of the Student
Name of the University
Author Note

EFFECT OF COVID-19 ON MORROCAN ECONOMY1
Table of Contents
Question 1..................................................................................................................................2
Question 2..................................................................................................................................2
Question 3..................................................................................................................................3
Question 4..................................................................................................................................3
Question 5..................................................................................................................................4
Reference....................................................................................................................................5

EFFECT OF COVID-19 ON MORROCAN ECONOMY2
Question 1
After the World War II no country in the world faced such a huge economic crisis for
the effect of COVID -19 epidemic. The entire financial market in the world faced a huge
shock from this diseases and the morocco is not an exception. As due to this diseases the
government has to stop all the activities that are related with the manufacturing sector or the
service sector, all the companies in these sectors suffered heavy financial losses. All the
companies be it small, large or medium scale has to suffer for this economic crisis that occurs
due to COVID-19. The port sector and the tourism sector faced the highest loss as the entire
transactions with the foreign countries get interrupted due to this pandemic (Ait Add et al
2020). The main challenges that the companies faces are
 Non availability of labour
 Inadequate supply of raw material
 Absence of proper transportation
Question 2
 Reserving hard currency is required in this critical situation as this will help the
country to manage the fiscal deficit and protect the country from acute financial crisis.
 If there is a short of hard currency in the economy of a country it means that the
country is not capable to maintain long term stability and the purchasing power, it will
also effect country’s political and fiscal condition.
 To control the situation of controlling the reverse of the hard currency the Moroccan
government decided to close its import for 5 and a half months.