Moroccan-Israeli Economic Relations on the Rise
Moroccan Economy growing: Israeli-Moroccan economic relations on the rise.
In a follow up to the American recognition of Morocco’s sovereignty over the Moroccan Sahara, US President Donald Trump and HM King Mohamed VI have also agreed to “promote innovative relations in the economic and technological fields, including working to reopen liaison offices in both countries.”
The US Ambassador to Morocco David Fischer mentioned that a series of announcements have been planned to” strengthen the U.S-Moroccan strategic Partnership in terms of economic development and trade while also enhancing Morocco’s role as a regional economic leader.”
Not only that, but the economic power of Morocco is expected to grow even more in the tourism industry thanks to the latest normalization with Israeli ties, and the decision to establish direct flights between both parties.
Ambassador Fischer also stated that HM King Mohamed VI’s bold leadership has in fact positioned Morocco as the economic “Gateway to Africa” thanks to Free Trade Agreements which the Kingdom has with Europe, the Middle East, and Africa, in addition to the fact that Morocco is the only country in Africa to have an FTA agreement with the United States.
This promised economic growth has already started reflecting on the Moroccan stock market, as only hours after the deals and breakthroughs made by the Kingdom, the Stock value in Morocco has gone up to around 3% and 4% and rising.
The growth in Moroccan economy also continues as Israeli circles are currently discussing the establishment of direct economic relations and not only political ones between Morocco and Israel, and according to the “Israel Valley” website, the most important economic fields which may be the focus of such close cooperation would range from agriculture, aeronautics, space, life sciences, tourism, all the way to the electronics industry, since it has been noted that more than 300 industrial units in the field of electronics are located in the Kingdom of Morocco, while providing more than 7,000 job opportunities in light of the investments made in modern technologies, despite the decrease in the financing of scientific research in this field.
The field of modern technologies also falls within the appropriate commercial areas for investment between Tel Aviv and Rabat in the future, stating that Morocco’s strength in the field of electronics lies in its geographical proximity to the European continent, in addition to the important infrastructure that it has.
Currently, Morocco ranks among the five largest economic partners of Israel in the African continent, coming directly after Egypt, followed by Mauritania, then Ethiopia, Uganda and Ghana, and the national economy is capable of achieving sustainable growth and reducing social imbalances, such as poverty and unemployment.
Even before the normalization, Morocco mainly imported chemical and mechanical products in addition to machinery and electronic devices aimed primarily at the agricultural sector from Israel, as there are some companies with their branches in the Kingdom; “Netafim” at the forefront.
It was further explained that the Moroccan economy is based on liberal policies, and it is a market that may be in line with Israel, indicating that the state seeks to develop and modernize its national economy by adopting industrial policies, strengthening the agricultural economy, and increasing phosphate production.
The royal court communiqué referred to the development of innovative relations between the two countries in the economic and technological fields. To this end, work will be done to reopen liaison offices in the two countries, as was the case in the past for many years, until 2002.