measures planned to encourage the private sector to increase investment

Following the adoption by the Council of Ministers, a bill for a new Investment Charter was submitted to the House of Representatives. The stage of legislative examination begins, and the deputies of the European Parliament will have their say during discussions both in the competent committee and in plenary sessions. This long-awaited reform, which was supposed to be developed during the previous legislative assembly, is designed to solve the fundamental problem that our country suffers from: to increase the share of private investment, national and international, in total investment. . It should be remembered that the private sector invests little compared to the state, which remains the main investor in Morocco with a 65% share. According to government data, the private sector only invests AED100 billion annually, which has a very low socio-economic impact.

To encourage private initiative, the new Charter promotes six basic principles of a liberal economy, namely freedom of enterprise; – free competition and transparency; – equal treatment of investors regardless of their nationality; – legal certainty; – principles of good governance.

Bonuses for investors

To do this, the Charter relies heavily on regions to contribute to these goals. The State undertakes, in accordance with Article 8, to support investments through joint bonuses, provided that the total amount or the number of stable jobs to be created equals or exceeds the thresholds established by law.

The law also provides for “additional bonuses” given to projects that are carried out in the regions or focused on “priority sectors” such as industry. The agricultural sector, on the other hand, is not regulated by the Investment Charter. In addition, any investment project that has become the subject of an investment agreement concluded with the state, on the terms provided for by applicable laws and regulations, enjoys tax and customs benefits. The basis of calculation and the rate of insurance premiums will be established by law. What is certain is that they can be combined with each other within 30% of the eligible investment amount.

In addition, the Charter is aimed in particular at SMEs and VSEs, the state undertakes to facilitate their access to bank financing and especially to public procurement.

The State is also committed to facilitating investor access to easily mobilized land at competitive prices. At the same time, companies will have capacities in terms of operational production, logistics, commercial, tourism and service areas that meet their needs. They will also have easier access to a large amount of land dedicated to value-added investment projects and stable jobs. In addition to this, the state must offer the entrepreneurial structure all the conditions conducive to their success, namely training adapted to their needs, access to new technologies and more accessible and more digital management.

New guarantees for foreign investors

In its quest to help attract FDI, the government tries to reassure foreign investors with a number of guarantees, including “remittance of profits, net of taxes, without limits on amount or duration.” The state also provides them with the possibility of transferring proceeds from the sale or liquidation of investments, including capital gains.

On the other hand, the Charter aims to encourage the development of Moroccan companies at the international level by providing a special support system, the conditions of which will be established by law.