Overview

A changing landscape: The market continues to expand, although consumer confidence has recently dipped
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The formal retail industry in Morocco remains fairly limited, but it has been gathering steam at an impressive pace over the past three years. A growing middle class and urbanisation rate, as well as a modernisation of consumer shopping habits bode well for the sector’s future potential. While the traditional and largely informal segment of the market will not disappear anytime soon, particularly…

Overview

Updated prospects: The mining industry is preparing to implement a new mining code and sector strategy
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Mining is a key sector of the Moroccan economy, but for a long time it was synonymous with phosphates. The country possesses the largest phosphate reserves in the world and is one of the three largest global producers. Recently, however, there has been a push to improve performance in the sector, in part by encouraging upstream and downstream activity in a variety of metals and minerals. The government…

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Rising expectations: Plans to further sector development are moving forward
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While the economic crisis in Europe and the fallout from the Arab Spring elsewhere in North Africa have continued to impact the tourism industry in Morocco, resulting in more modest growth in tourist arrivals and length of stays, the sector has nevertheless seen moderate expansion in activity. The tourism sector has undergone a major shift in recent years in large measure due to the implementation…

Overview

In pursuit of growth: The sector records an increase in premiums, while new products are introduced to the market
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With local insurers developing new products in an effort to reach currently unserved segments of the population, Morocco’s insurance market has become more competitive in recent years. As a result, the domestic penetration rate, or total premiums as a percentage of GDP, increased to 2.95% in 2012, up from 2.8% in 2011 and 2.3% in 2010. Indeed, Morocco is now Africa’s second-largest insurance…

Overview

Road map: Planning for longer, better routes and connections
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The Moroccan transport sector has made some great strides in recent years, as attested by investments in the maritime and road segment. While major events such as the 2008-09 financial crisis, the ensuing Eurozone debt crisis and recent regional political instability have impacted passenger and cargo flows to and from the kingdom, investment plans in general have kept pace. As such, projects across…

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A rising tide: The northern region is a hub of industrial activity
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Anchored by the port city of Tangiers, Morocco’s diverse northern region has undergone a significant transformation in the past 10 years. The infrastructure and economic tissue of the north lagged behind much of the country for decades. However, since the late 1990s, efforts to decentralise governance, boost local infrastructure and encourage industrial growth have propelled the region forward.…

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Filling the gap: Middle-class housing plan to reverse slowdown
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Although the construction industry is generally one of Morocco’s most dynamic sectors, it witnessed a significant slowdown in 2013 due to a confluence of factors. These ranged from regional political instability, leaving foreign investors reticent about entering the Moroccan real estate sector, to a reduction in the number of new construction sites and a shortage of access to financing for property…

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Turning over a new leaf: Mixed-use projects and mid-range housing will advance the sector
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Activity in the real estate sector has fallen, but stabilised, following an earlier boom between 2007 and 2008. The sector has been buoyed by a government-sponsored financial incentive package aimed at attracting real estate developers and builders to the mid-range market segment, where there is a housing deficit. The luxury segment has witnessed a sharp fall in demand due to a sluggish international…

Overview

New horizons: As demand grows the country is looking to supplement its energy mix with new sources
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As a net importer of energy, Morocco is faced with the challenging proposition of satisfying rising local demand while keeping its import bill in check. This has proven problematic as consumption figures and global commodity prices have risen, putting particular pressure on the government’s balance sheet, which has for the better part of two decades help fund generous fuel subsidies to minimise…

Overview

Rising in the east: The region aims to establish a dynamic, self-sufficient economy
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The landscape of Morocco’s easternmost region, known as the Oriental, is vastly different than it was a decade ago, thanks to an overarching economic development initiative launched in 2003. The region has a number of advantages, with Mediterranean coastline, a fertile agricultural environment in the north, diverse topography and a young population. Yet it grappled with underinvestment until…