"After a building slowdown caused by the global recession and the removal of a tax break for low-income housing developers in 2008, the Moroccan government has reinstated affordable housing incentives in its 2010 budget," OBG reported.
    "The 2010 finance bill will give social housing developers exemptions from a capital gains tax and a cement tax," OBG added.
    The report also point out that "university dormitory developers will also be granted tax incentives."
    "The advantages given to developers will allow a return of investment to the construction industry, with all that it entails in terms of opening up new construction sites, job creation and sales of building materials," Youssef Ben Mansour, chairman of the National Federation of Housing Developers said in a press statement quoted by OBG.
    OBG said that with an estimated 70% of market demand for social housing, Morocco has a "strong imperative to speed up the construction of affordable homes."
    "The range of incentives contained in the new budget join other efforts by the Moroccan government to bridge its housing gap," OBG said.
    The British think thank also said that "another successful programme has been Villes Sans Bidonvilles (Cities Without Slums), aimed at dismantling the shantytowns that have sprung up around large cities in recent years as a result of urban migration."