The Kingdom of Morocco is advancing a new investment charter with the aim of expanding private investment for enhanced national and regional economic growth.
The charter will serve as a blueprint for the implementation of the country’s New Development Model that aims to reverse the low level of private investment, and to effectively make Morocco an investment destination for foreign investors, including African businesses.
Currently, private investment represents only about one third of total investment, with public investment representing two thirds, but the new model intends to increase the share of private investment to two-thirds of total national investment by 2035.
A communique issued after a working session by the King of Morocco, King Mohammed VI, with key Ministers on Wednesday to discuss the charter project said King Mohammed urged the government to speed up preparations for the implementation of the new investment charter, citing its benefits to both businesses and the population.
The King also emphasised the role that the national private sector should play in the project, and asked the government to actively involve private operators in the charter implementation process.
According to King Mohammed, the success of the new legal and incentive schemes remains dependent on their proper implementation and regular monitoring of their implementation, in order to give a new impetus to private investment climate and to make the Kingdom a land of investment at the regional and international level.
The major objectives of the new investment charter are the creation of employment, the promotion of an equitable development of the territories and the prioritisation of the carrier sectors for the national economy.
The charter also provides an incentive support system consisting of common premiums in support of investments, and the objectives of the New Development Model; an additional territorial bonus to encourage investment in the least preferred provinces; and an additional sectorial bonus, granting incentives to boost growth sectors.
The project also provides for exclusive support measures for projects of a strategic nature such as the defense or pharmaceutical industries within the framework of the National Investment Commission, as well as a specific support mechanism for very small, small and medium-sized enterprises, in addition to a mechanism for the development of Moroccan investments abroad. -MAP