Territorial Anchoring: Executive Strategy for End of Mandate
Morocco Launches New SME Support Strategy with $1.2 Billion Investment
Table of Contents
Strategic Importance of Small and Medium Enterprises
Small and medium-sized enterprises (SMEs) are the cornerstone of Morocco’s economy, representing over 90% of the national entrepreneurial landscape. Recognizing their crucial role in job creation and reducing regional disparities, the government has prioritized support for these businesses, particularly in rural and peri-urban areas where they often serve as the primary source of formal employment.
$1.2 Billion Annual Investment Envelope
A new government policy aims to stimulate productive investment through an annual budget of 12 billion Moroccan dirhams (approximately $1.2 billion USD, as of December 16, 2023) dedicated to SME support.This initiative is directly linked to the recently enacted Investment charter and the national employment roadmap.
Investment Bonuses and Regional incentives
The support system is structured around three cumulative investment bonuses, potentially reaching up to 30% of eligible investment costs. These bonuses are awarded for creating stable jobs, locating projects in regions with investment deficits (“territorial” bonus), and operating within 14 priority sectors encompassing 54 activities nationwide. This tiered approach aims to move beyond uniform support and address specific regional employment needs.
Public Procurement Access and Regional Governance
To further bolster SMEs, the government is reforming public procurement processes, reserving 30% of programmed amounts for SME participation. This measure seeks to level the playing field, historically dominated by larger companies, and provide SMEs with consistent revenue streams.A dedicated SME regime has also been launched to operationalize the Investment Charter, focusing on territorializing support and strengthening regional governance of assistance programs.