Morocco to Receive $120 billion of Investments from GCC Countries in Next Decade
PERSISMA, Rabat – An analysis of investments made by member countries of the Gulf Cooperation Council (GCC) shows that Morocco is on track to receive more than USD 120 billion from the region over the next 10 years, particularly in the sectors of industry, tourism, agriculture and energy, according to the Federation of Chambers of the GCC.
King Mohammed VI’s visit to the capital of Saudi Arabia for a GCC summit on Wednesday is expected to increase the region’s investments in the kingdom further, according to Maghreb Arab Press (MAP).
A favorable business climate has made Morocco an attractive place for foreign direct investment (FDI) and interregional trade, as evidenced the volume of trade conducted with the country by the six-membered GCC.
The members of the regional organization include: Saudi Arabia, the United Arab Emirates, Oman, Qatar, Kuwait and Bahrain.
Among Gulf countries, Morocco exports its products most regularly to Saudi Arabia, with the total value of the sent goods exceeding 920 million dirhams in 2015, 52.4 percent of the regional total. The next largest receiver of Moroccan goods from the region is the United Arab Emirates (UAE), with 589 million dirhams and a one-third share of the regional total.
Between 2006 and 2014, FDI from Gulf countries have accumulated to nearly 57 billion dirhams, representing 19 percent of total FDI to Morocco during the same period.
These investments are mainly from the UAE (44 percent of flows received GCC in 2006-2014) and Saudi Arabia (38 percent) and are especially designed for the tourism, real estate and energy sectors These increasing figures reflect the will of both parties to move forward in their economic partnership while taking advantage of their promising development prospects. Over the past few years, Morocco has signed collaboration pacts with most of the GCC countries individually and participated in talks with the regional organization as a whole as well. The pacts cover economic development, counter-terrorism strategies and other points of mutual concern.
