FDI in Morocco
FDI in Figures
With 2.5 billion USD, in late 2009 Morocco recorded a decline in FDIs of around 27% compared to 2008. However, this decrease is less pronounced than in comparable countries, due to the apparent resilience of the Moroccan economy against the crisis. It is all the more remarkable as there were only few privatizations.
In the past, Morroco essentially leaned heavily on the national privatization plan, the conversion of the foreign debt to investments and concession of public services operations. In the last few years, the Moroccan authorities have managed to attract a relatively substantial flow of foreign assets. Other sectors have taken over, including the banking, tourism and energy sectors. Also visible are some industrial investments. However, the FDI level remains small and could participate more in pushing ahead the country's economy.
|Foreign Direct Investment||2007||2008||2009|
|FDI Inward Flow (million USD)||2,803||2,487||1,331|
|FDI Stock (million USD)||38,613||39,388||40,719|
|Performance Index*, Ranking on 141 Economies||87||88||94|
|Potential Index**, Ranking on 141 Economies||97||96||-|
|Number of Greenfield Investments***||58||93||49|
|FDI Inwards (in % of GFCF****)||11.9||9.0||6.1|
|FDI Stock (in % of GDP)||51.3||45.5||46.0|
Note: * The UNCTAD Inward FDI Performance Index is Based on a Ratio of the Country's Share in Global FDI Inflows and its Share in Global GDP. ** The UNCTAD Inward FDI Potential Index is Based on 12 Economic and Structural Variables Such as GDP, Foreign Trade, FDI, Infrastructures, Energy Use, R&D, Education, Country Risk. *** Green Field Investments Are a Form of Foreign Direct Investment Where a Parent Company Starts a New Venture in a Foreign Country By Constructing New Operational Facilities From the Ground Up. **** Gross Fixed Capital Formation (GFCF) Measures the Value of Additions to Fixed Assets Purchased By Business, Government and Households Less Disposals of Fixed Assets Sold Off or Scrapped.
FDI Inflows By Countries and Industry
|Main Investing Countries||2007, in %|
|United Arab Emirates||10.9|
|Main Invested Sectors||2007, in %|
|Energy and mining||7.4|
Source: Foreign exchange office
- Form of Company Preferred By Foreign Investors
- S.A(public ltd. company), S.A.R.L (private ltd. company
- Form of Establishment Preferred By Foreign Investors
- Main Foreign Companies
Telefonica, the Spanish telecommunications giant shows its presence through the Méditel mobile operator and call centers Atento. Dell has just completed its largest center of Europe-Africa-Middle East area.
France has nearly 500 subsidiary companies in Morocco which employ on the whole more than 65,000 people. Among the principal subsidiary companies of foreign companies based in Morocco, one can quote Total, Renault, Holcim but also St Microelectronics, Sanofi-Aventis and Nestlé.
- Sources of Statistics
Foreign exchange office
Why You Should Choose to Invest in Morocco
- Strong Points
Morocco's strengths are:
- A legal framework and assistance measures very favorable to the investors;
- Still relatively low salaries;
- A Strategic position, not far from Europe;
- A Young and relatively well trained population;
- Strong growth.
- Weak Points
Morocco's weaknesses are:
- A still relatively limited Domestic market;
- A country still very dependent on agriculture and vulnerable to the prices of hydrocarbons.
- Government Measures to Motivate or Restrict FDI
The government adpoted the "Investment Charter" in 1995. This charter mainly provides company exemptions for VAT and corporate tax for 5 years.
In the industrial sector, the Emergence Plan creates infrastructures which offer turnkey premises.
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