Morocco: Economic Snapshot 2020
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Improved operating environment for small businesses in MoroccoOBGplus
As the benefits of Morocco’s long-term development plans have become evident, through sustained GDP growth rates and an increasingly liberalised economy, passing on those benefits to the country’s small and medium-sized enterprises (SMEs) has at times eluded policymakers. Although SMEs account for approximately 95% of all companies in the kingdom, they are often faced with a more challenging…
Morocco's new trade deal promotes trade in AfricaOBGplus
Although trade flows among African states remain below their potential, an ambitious project is under way to accelerate economic integration and significantly expand intra-continental trade. Spearheaded by the African Union (AU), the African Continental Free Trade Area (AfCFTA) agreement was signed in March 2018 and aims to substantially reduce both tariff and non-tariff barriers to trade.…
Regionalisation plans set to boost economy in MoroccoOBGplus
Morocco is advancing with its regionalisation plans, with the goal of enhancing the transfer of critical development funds to the less-developed regions of the kingdom in order to curb economic and social inequalities. Over the past two decades the kingdom has seen a strong level of economic development that has allowed it to diversify its economy, attract considerable volumes of foreign direct…
Morocco's low interest rates attract investors to the marketOBGplus
The 2009-13 period was marked by a strong deterioration of the twin deficit in 2012, when the budget deficit and the current account deficit slowed by 6.8% and 9.5%, respectively. However, with the market starting to recover since 2014, interest rates have begun trending downwards, prompting investors – both globally and in Morocco – to turn to alternative assets for higher yields. Challenges In…
Morocco seeks to extract and process a wider variety of mineral resourcesOBGplus
With the world’s largest known reserves of phosphates, mineral resources have traditionally played an important role in the Moroccan economy. The authorities have established the country as a major exporter of the resource, and are now looking to diversify the sector towards other minerals. The government has implemented a series of initiatives aimed at attracting domestic and foreign investment…
Morocco attracts automotive manufacturers and suppliersOBGplus
By setting the right policies, incentives and conditions for foreign direct investment, automotive manufacturing in Morocco has developed from a burgeoning subsector with potential to become the top export product by value in 2018. The country has been able to attract some of the world’s largest car manufacturers and integrate them into an efficient ecosystem characterised by industrial and…
Industrial policy measures boost Morocco's textile industryOBGplus
With a long tradition in leather and garment manufacturing, textiles is one of Morocco’s most important industries, accounting for 15% of industrial GDP, according to the Moroccan Association of the Textile and Apparel Industries (Association Marocaine des Industries du Textile et de l’Habillement, AMITH). While textiles and garments have grappled with periods of crisis, broad industrial…
Morocco seeks to reduce reliance on energy importsOBGplus
As Morocco continues to rely on imports of coal, gas and oil to satisfy its energy requirements, the need to reduce its dependence on imports has long been a priority. To this end, the country has sought to develop its renewable energy capacity, alongside new hydrocarbons exploration projects. A combination of favourable regulatory conditions and successful investment promotion has helped attract…
Moroccan cities face challenges in urban mobilityOBGplus
As economic development progresses and urban centres rapidly grow, Moroccan cities are increasingly facing urban mobility challenges and seeing disruptive technologies change the way these problems are addressed. For example, Rabat, which saw its population increase by 18% over the last decade, is expected to accommodate 1.94m passenger movements per day in 2024, up from 1.49m in 2014. Casablanca’s…
