Moroccan economy 'healthy' thanks to structural reforms, official
Paris - Morocco's central bank governor, Abdellatif Jouahri, underlined, here Wednesday, that Moroccan economy is in fine fettle thanks to the structural reforms initiated by the kingdom, and which enabled it "to withstand the global economic crisis."
"The bases of the Moroccan economy are sound thanks to an endeavour launched years ago and boosted by structural reforms," Jouahri said at a conference on "the situation of Morocco's economy and its prospects," co-organised by French-Moroccan friendship group and French Coe-Rexecode Institute.
He conceded, however, that the extent of the global downturn on Europe's economy will impact some sectors in Morocco, including textile, leather and subcontracting automobile industry. Yet, he went on, the solutions devised by public authorities are likely to enable the kingdom to withstand adverse effects of the crisis.
The official noted that Morocco’s banking system has been described by the International Monetary Fund and the World Bank as sound and profitable for the MENA (Middle East and North Africa) region.
For his part, chairman of Moroccan employers’ union, Moulay Hafid Elalamy, underlined that Morocco has been shielded from the global downturn while several countries’ economies slipped into recession.
“Our financial sector is sound, with banks and insurance system not hit by the global crisis,” he said.
Morocco's energy strategy to be presented at conference early March in Rabat, Minister
Rabat - Morocco's energy strategy will be presented at a conference on energy that will be held on March 6 in Rabat, Minister of Energy, Amina Benkhadra, announced here Wednesday.
The conference, the first of its kind, will ponder on a set of energy-related issues and highlight the need to implement the national energy strategy, which is devised to ensure energy supply, guarantee access to low cost energy and reduce energy dependency by diversifying energy resources and developing national energy potentials, Benkhadra said at a press briefing.
Explaining the different dimensions of the strategy, Benkhadra spoke of the national plan of action in the field of electricity, which aims to establish balance between electricity offer and demand for the 2008-2012 period.
Renewable energies, another component of the national energy strategy, will contribute 8% to the overall energy balance sheet, and will represent 18% of electricity production, she said, adding that Morocco is the first Arab country to put on the market the Diesel 50 PPM with the aim to reduce gas emissions.
The strategy also provides for energy efficiency which will enable Morocco to achieve energy savings from 12% to 15% by 2020 through implementing several measures in the fields of industry, transport, and housing, said the Moroccan official.
The conference will examine several themes, including maintaining balance between electricity offer and demand, developing renewable energies to reduces expenditures, reformulating oil price structure at the prospect of liberalizing the oil sector, and developing alternative energy resources.
Maghreban, Mediterranean countries called for prompt preparation for post-global financial crisis
Casablanca - North African and Mediterranean countries are called for acting "now to prepare for the post-global economic crisis" and finding a place in tomorrow's world that" will undoubtedly be multipolar," Moroccan researchers and experts in economy said.
It is "important for us as Moroccans, Maghrebans and Mediterraneans, to get ready for tomorrow's world" in order to "improve our negotiating position with other groups," former Finance Minister, Fathallah Oualalou, said at a roundtable on "the global financial crisis: a sign of the failure of Globalization?", organized as part of the 15th Casablanca International Book Fair (SIEL), held on February 13-22.
He said that Morocco should continue its efforts at political and economic levels in order to revive the Maghreb region (Morocco- Algeria- Tunisia- Libya- Mauritania) and encourage the Mediterranean partnership.
For Oualalou, who said the ongoing economic and financial crisis is the worst since 80 years, stressed the need to go beyond the solutions proposed so far, which are limited to programs for safeguarding the banking system or economy stimulus.
For his part, Hassan Abouyoub, ambassador and former minister, said the international financial crisis that has shaken the global economy could be "an opportunity for Morocco if it is well managed by capitalizing on the assets of the Kingdom."
"Morocco's capacity to resist the harmful effects of this crisis is more important than many of our partners, including the richest for many reasons," he added, ascribing the Moroccan resilience to its macroeconomic adjustment and sound economic situation.
Moreover, he went on, the rate of integration of the Moroccan financial system in the global economy remains relatively low, which alleviates the crisis effects on the Moroccan economy supported by a number of precautionary investments in infrastructure, education and other strategic sectors.
New Perspectives for Morocco's Real Estate Market, OBG
London - Despite a relative contraction of the high-end market due to the global downturn, new perspectives are offered to Morocco's real estate market, says the London-based think-tank, Oxford Business Group (OBG).
As the high-end market contracts in light of the global downturn, Morocco's real estate sector is turning its attention toward low-to middle-income housing, says the Group in a report, adding that a number of initiatives have highlighted Morocco's shift towards the social housing market.
Last year, King Mohammed VI announced a new government scheme to construct an additional 130,000 social housing units by 2012, for an estimated value of Dh15.5bn, says the Group, adding that within the framework of this low-cost housing programme, the Al Omrane Group, Morocco's state-owned real estate company, broke ground last year on 22,000 units, and committed to build another 129,000 residences, with a maximum sales price of Dh 140,000, in the coming four years.
The group also announced the next phase of development for its affordable housing programme, which involves the construction of an additional 30,000 new low-cost units by private sector developers, currently, the company is negotiating with 67 different private developers, added the think-tank, stressing that these programmes are the latest in a series of national housing plans aimed at providing homes for Morocco's low-income families.
In 2004, the government launched the Dh21.4bn Cities Without Slums programme (Villes Sans Bidonvilles, VSB), which is looking to shift some 280,000 households from shantytowns into permanent residences, the OBG went on, adding that the government also recently inaugurated the first city in its New Cities (Villes Nouvelles) programme last year, which is designed to expand the country's urban housing supply.
Tamansourt, a Dh22.3bn (2bn euros) development located 12km from Marrakech, will house some 300,000 people in a variety of low- and middle-income units, added the source.
Karim Amor, president of Jet Sakane group, told OBG, "Morocco has a strong demand for low and middle-income housing and is at the forefront of this type of urban development."
However, OBG conceded that there are some obstacles that the government must address if it wishes to boost its housing stock. One major issue developers must contend with is property registration, as only one-third of Moroccan land is under properly documented ownership, leading to massive confusion over legal responsibilities and development rights, the group explained, adding that the authorities have acknowledged the problem and have taken a number of measures to improve the situation, including establishing a national agency charged with topographical mapping surveys and cartography, the National Agency for Land Conservation, Registry and Cartography (Agence Nationale de la Conservation Foncière, du Cadastre et de la Cartographie).
The shift to low-income housing is a relatively recent occurrence for the domestic sector, said the think-tank, adding that Morocco's high-end real estate market grew rapidly during the worldwide boom, driven largely by the growing appetite abroad for second residences.
As the global downturn spreads, however, demand for luxury housing has declined significantly, leaving portions of the kingdom's real estate sector with a marked drop in sales.
Rachid Khayatey, CEO of KLK Immobilier and vice-president of the National Real Estate Developers Federation (FNPI), said "In the Casablanca-Rabat market, there has been a slight decrease in activity, down 10-15%, but in Marrakech the slowdown in new sales is more drastic".
With less demand for luxury housing, 2009 will most likely be a year of price correction in the real estate sector but with the kingdom focusing on more moderately-priced housing, those who have been waiting for a home could very well benefit, the group concluded.
Morocco cuts gas prices by up to 26%
Rabat - Gas prices in Morocco have been lowered by 9 to 26% as of Monday, it was officially announced.
The decision is meant to protect citizens' purchasing power, said a joint statement by the Ministries of Economic Affairs, and of Energy.
The price of lead-free petrol was trimmed by 9% to 10.25 dirhams, while that of 50 ppm diesel oil dropped to 7.50 dirhams per liter (-26%).
Industrial fuel will be sold at 2378 dirhams per ton (-300 dirhams/ton; that is -11.20%), the government added.
50 ppm diesel fuel was introduced in the market in January 2009, part of the government strategy to secure supply and protect the environment.
Once generalized this coming April, 50 ppm diesel will be sold at the same price as regular diesel to sustain the purchasing power of citizens and to protect consumer interests, the government statement went on to say.
+++++Measures undertaken by Morocco prepared it to face international financial crisis, WB
Rabat, 23 Jan. 2009 (MAP) - Measures undertaken by Morocco have prepared it to deal with the international financial crisis, visiting World Bank Managing Director, Juan Jose Daboub said, here Friday.
"These measures will enable Morocco to protect itself against further shocks," he said in a meeting with Moroccan Economy and Finance Minister, Salaheddine Mezouar.
After hailing the economic reforms launched in the North African country, Jose Daboub expressed the will of the Bank to strengthen its support to economic and social development efforts in Morocco, especially in the fields of infrastructure, technical assistance and the fight against poverty.
For his part, Mezouar recalled the smooth running of the Country Assistance Strategy (CAS 2005-2009), whose implementation has resulted in the achievement of several operations, worth a total of $ 1.2 bln, covering reform programs and investment projects. He also called on the WB to support Morocco in the implementation of its strategy in the areas of health and education, and in setting up a second phase of the National Initiative for Human Development (INDH).
He also called on this institution to support middle-income countries (MICs), including those in the MENA region, amid the difficult international situation, which is marked by the persistence of the financial crisis, through supporting export-oriented activities.
Daboub also told the press, following a meeting with Moroccan Foreign Minister, Taieb Fassi Fihri, that he was impressed by the ability of Morocco to integrate more into its region and the European market.
Deeming "very good" relations between WB and Morocco, the managing director said that both parties are examining a three-year partnership strategy.
The strategy, which is developed in consultation with the government, private sector and civil society, aims at fighting poverty, reducing unemployment, and improving access to health services, he said.
Daboub, who kicked off a five-day visit to Morocco on Wednesday, held talks with Prime Minister, Abbas El Fassi, and other government officials. He is accompanied by an important delegation, including notably WB deputy-President for MENA region, Daniela Gressani.