A singular achievement
Moroccan SEZs do well in a pan-African comparison. Special economic zones (SEZs) based around ports played a central role in China’s economic rise, for example. In Africa this tool has had too little impact so far. One major exception stands out, however – SEZs in Morocco.
An analysis conducted by the Senegalese economics ministry and reported by the information agency Agence Ecofin at the end of April has kicked up quite some dust. The study gave the 237 SEZs currently operational in Africa a poor report card concerning productivity and employment figures.
There are some laudable exceptions amongst them, however, including SEZs in Ethiopia and Morocco.
Developing special economic zones is one element of Morocco’s recent commercial success. The SEZs focus on logistics around the port of Tanger Med, for example, or on the automotive and aviation industries around Kenitra. The aim is to exploit a comparative advantages in selected sectors.
Special economic zones are usually characterised by job creation. Tanger Med in Morocco, with 80,000 jobs, has surpassed Egypt’s free-trade zone at the port of Alexandria (74,000).
30% of total exports from SEZs
Morocco has a strong track record of attracting foreign direct investment too. Tanger Med, which now has more than 1,000 companies in its SEZ, has attracted a lot of foreign capital. Private investment has been estimated at about USD 6.2 billion.
With an annual volume of more than 1 million vehicles, the site produces exports worth approximately USD 8.9 billion – or almost 30% of Morocco’s total export volume.