Spanish Remittances to Morocco Double, Making It the Second Highest Recipient

Spanish remittances to Morocco have nearly doubled, reaching €1.375 billion in 2023, making Morocco the second-largest recipient of these transfers from Spain. The Moroccan community in Spain has grown significantly, contributing to this increase. Total remittances from Spain reached €10.7 billion this year, while the global remittance landscape is evolving with new financial services.

Recent data from the Bank of Spain, analyzed by The Objective, reveals that remittances from Spain to Morocco have nearly doubled in the last decade, establishing Morocco as the second-largest recipient of such transfers. In 2023, these remittances reached €1.375 billion, accounting for 13.1% of the total remittances sent from Spain and 0.09% of Spain’s GDP, marking a significant increase from 7.4% and 0.04% respectively a decade prior.

This surge in remittance inflow is linked to the expansion of the Moroccan community in Spain, which has grown by 200,000 individuals over two years. Currently, Moroccans represent the largest foreign nationality in Spain, exceeding one million residents, as reported by the Spanish National Statistics Institute (INE). Colombia remains the top destination for Spanish remittances, receiving 14.7% of total transfers, approximately €1.5 billion.

In total, remittances from Spain amounted to €10.7 billion in 2023, comprising 0.7% of the country’s GDP, a 0.5 percentage point increase since the COVID-19 pandemic. The Spanish remittance flow reinforces Morocco’s leading position in diaspora transfers. The Moroccan Exchange Office noted that total remittances from the Moroccan diaspora worldwide reached MAD 117.7 billion ($11.7 billion) in 2024, reflecting a 2.1% rise from the previous year.

Morocco maintains its status as the second-largest recipient of remittances within the MENA region, following Egypt. Furthermore, foreign direct investment in Morocco rose significantly, reaching MAD 17.23 billion ($1.7 billion), a 55.4% increase year-on-year. As of January 2025, remittances from Moroccans abroad stood at MAD 9.45 billion ($950 million), slightly above the MAD 9.4 billion recorded during the same month the previous year.

The patterns of remittance flows have dramatically changed since 2013 when Ecuadorian, Bolivian, and Romanian residents sent more money than their Moroccan counterparts. Even in 2019, prior to the pandemic, Ecuadorians were the leading senders of remittances. Countries such as Honduras and Pakistan have also seen notable increases in their remittance shares from Spain, with Honduras’ share doubling to 4.9% and Pakistan rising to 4.4%.

The Bank of Spain highlights the overall increase in remittances, both globally and regionally, although the remittance-to-GDP ratio in Spain remains historically lower than the international average. Several new financial service providers have emerged in response to this growth, indicating an evolving financial landscape for international money transfers from Spain.

In conclusion, the dramatic increase in Spanish remittances to Morocco underscores the strengthening economic ties between the two nations, driven by a growing Moroccan diaspora in Spain. The impressive statistics, particularly the doubling of remittances, reflect wider migration trends and the importance of these financial flows for Morocco’s economy. This growth is coupled with significant foreign direct investment, framing a dynamic financial scene while also highlighting future opportunities for digital financial services.

Original Source: www.moroccoworldnews.com