After first enjoying a period of continuous positive economic development during the last two decades, the country’s economy has recently been experiencing huge fluctuations: the COVID-19 pandemic, a severe drought and the repercussions of the war in Ukraine have had major impacts. In addition, the economic growth that had been achieved did not benefit all population groups and regions equally. A high level of youth unemployment, a lack of opportunities for women to participate, corruption and a big development gap between urban and rural areas all pose risks for social peace.
Morocco is a monarchy, with the reins of power mainly concentrated in the hands of Mohammed VI, who has been King since 1999. The current government, which was democratically elected in 2021, is pursuing a course of reform. It has formulated concrete development goals for the next few years in order to address the challenges that Morocco is facing.
German development cooperation with Morocco
Morocco is a key partner for Germany in the region of North Africa.
In a meeting between Federal Minister Svenja Schulze and Morocco’s Foreign Minister Nasser Bourita in March 2022, it was agreed that, with a view to a comprehensive partnership and in the spirit of mutual respect, development cooperation would be deepened.
In a joint foreign policy declaration, the two countries furthermore agreed in August 2022 that they would further deepen their longstanding bilateral relations in order to establish an enhanced partnership focused on the future. Political dialogue is to be strengthened, trade promoted, and cooperation on climate issues and protecting biodiversity, and on increasing the use of renewable energies and energy efficiency is to be expanded.
Current priority areas of cooperation
At the government negotiations in October 2022, the Federal Ministry for Economic Cooperation and Development (BMZ) made a new commitment of almost 243 million euros to Morocco. Of this sum, 19 million euros is for Technical Cooperation and around 224 million euros is for Financial Cooperation, which is mostly used to provide loans at near-market conditions.
In line with Morocco’s own development strategy, the focus of development cooperation is on the two following core areas:
- Sustainable economic development, training and employment
- Climate and energy, just transition
Furthermore, the BMZ is supporting projects concerned with migration, good governance and regionalisation. The aim for all measures is that they serve the goal of gender equality and contribute to the digitisation of processes.
SDG trends for Morocco
- On track or maintaining SDG achievement
- Moderately improving
- Trend information unavailable