Morocco is becoming the Maghreb Hub and Gateway to Europe. This presentation provides the latest investment opportunities, laws and regulations.

1. MOROCCO
The Gatway to Europe, Africa & The Middle East
Driss R. Temsamani

2. Morocco: a unique platform location
"Morocco is to Europe what Mexico was to USA"
Europe
Monthly average labor cost
2700$/m (Spain)
14 km
Monthly average labor cost
Tangier Med Port
Tangiers Med 360$/m
Morocco
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3. Massive Government-backed development plans
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4. Major Upgrade in Infrastructure, now among the
best
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5. Morocco uniquely combines 4 decisive strategic
and long-term attractiveness factors for
investors
Ideal location to serve Europe and Africa
Unique set of Free Trade Agreements
Competitive Labor costs
Stable and business-friendly environment
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6. Over last 10 years, Morocco has modernized to
become a highly attractive platform for investors
Solid macro-economic fundamentals
Massive Government-backed plans
Major upgrade of infrastructures
Very stable and safe environment
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7. Morocco's Government has put the growth of
Foreign Investments as a top-priority
Direct implication of Government officials
Highly attractive set of incentives
Free Zones Areas
Solid Banking system
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8. Morocco's Government has put the growth of
Foreign Investments as a top-priority - Illustration
• Meetings and direct line with Minister of Industry
• Support from newly created AMDI (Moroccan Investment Development
Agency): "one-stop" shop approach ensuring the overall investment process
Direct implication of execution
Government officials – Administrative, operational and commercial support
• 20% of land acquisition costs
• 5% of infrastructure costs
Highly attractive set of • 20% of professional training costs
incentives • Several tax reductions
(elements for Investments – Examples: VAT; import duties on equipment; income tax…
superior to 25 M$)
• No tariff and simplified customs procedures
• No company profit tax for 5 years then 8.75% for 20 years
• No personal revenue tax for 5 years then 80% reduction for 20 years
Free Zones Areas • No restriction on benefits repatriation
Source: AMDI
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9. Solid macro-economic fundamentals
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10. A very stable and safe environment for business
and self
1. Methodology: notes of OECD, COFACE and ONDD were averaged to come up with a global risk index
For country personal risk evaluation: average of Canada and Australia Foreign Offices
Source: OECD, COFACE, ONDD 10

11. Morocco's unique value proposition
Uniquely combining low cost-to-serve and market proximity
Unique set of Free trade + Highly competitive + Unique location Europe, Africa
Agreements labor costs and USA
# Free trade agreements by country US$/month
10/21/11 10/21/11
60 Morocco as a crossroad between
Europe, Africa and Americas
(e.g. with shipping distance)
10/21/11
10/21/11
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Morocco's average 2 days
40
manpower cost is half 10 days 1 day
of Romania's
10/21/11 3,787 ~13 days 9 days
55
10/21/11 3,049
10/21/11
20 42 44 2,736
10/21/11
10/21/11
20 1,226
1,081
12 13 13 15 719
302 393
360
0 10/21/11
10/2 S. 10/2 US 10/2 10/2 10/21/ 10/2 10/2 10/2 10/2 10/2 10/2 10/2 10/2 10/2 10/2
1/11 Kor. 1/11 1/11 1/11 11 1/11 1/11 1/11 21/11 1/11 1/11 1/11 1/11 1/11 1/11
Free trade agreements
leading to 1.0 billion
consumers markets
1. in 2005 2. Estimates : ~half Romania's average wage
Source: ILO, INEGI, IMD, ONE, Press Search, Searates
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12. Morocco's: unique air hub to America, Europe
and Africa
Casablanca's airport has become an unique Hub between America, Europe and Africa
Direct connections with 2 American cities & Direct connections Direct connections with 18 African cities
indirect connect. with 6 others with 32 European cities (+4 in Middle-East)
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13. Duty free access to 1 Billion consumers and
the best delivery platform to Europe
Agreement with the European Union (1996)
Agreement with the US (2005)
Located 14 km
from Europe
Agadir Agreement (2004)
Arab League Agreement (1998)
Agreement in progress with the West
African Economic and Monetary
Union
In addition, Morocco has signed an Advanced Status
agreement with the European Union in 2008
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14. Business friendly environment: Morocco is overall
better or in line with other emerging locations
Results indicators by country
Positioning
High
Performance 2.0
1.5
1.0 10/21/11
10/21/11
10/21/11
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0.5
10/21/11
10/21/11
Low 10/21/11
Performance
0.0 10/21/11
N° proc. Costs to Credit Avail. of Total exp. General Intell Effective Level of Effective
to open a business for (% GDP) eng. and in R+D Infrastr. property anti- corruption Schooling
business crime and scientists (% GDP) protection monopoly perception
violence policy
Morocco position vs. Areas of
Overall better In line
other locations improvement
Note : All data is indexed for comparison
Source: IMD, IMCO, WEF The Global Competitiveness report Report '10-'11, EIU, Doing Business, BCG analysis
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15. Morocco offers a solid Banking System
With local actors growing internationally through strong footprint in Africa
Key facts
Highest banking services penetration level in Africa, after South-Africa
• Banks asset on GDP reaches 73% vs. 69% in Egypt, 33% in Algeria
3 national champions among top-10 in Africa
• Attijariwafa Bank: #6
• Groupe Banque Populaire: #8
• BMCE Bank: #9
Strong presence in African countries, supporting Moroccan companies
Attijariwafa bank BMCE bank (& Bank of Africa)
1.5 B$ revenues 0.8 B$ revenues
35 B$ assets 19 B$ assets
2010 African bank
of the year
Source: BCEAO, FMI – World Economic Outlook, Avril 2010, PNUD – HDR database (2010), Bank al Maghrib, banks websites & annual reports, BCG analysis
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16. Driss R. Temsamani
www.twitter.com/drisstemsamani
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