Morocco is the top performer among African and Arab nations and now ranks 36th out of 73 countries overall in US News & World Report’s latest ranking of the most business-friendly countries.
The Open for Business ranking evaluates countries based on 73 individual attributes, including entrepreneurship, quality of life, and cultural influence.
Leading the ranking globally is Luxembourg, followed by Switzerland, and Sweden.
Over the past 30 years, Morocco has seen a significant surge in foreign investment, driven by economic reforms and significant infrastructure upgrades.
The government continues to push for economic modernization through its Industrial Acceleration Plan (IAP), which is now in its second phase (2021-2025) building on the successes of its initial phase.
Despite its positive momentum, Morocco has struggled to attract foreign capital in the past two years due to unfavorable global economic conditions. Foreign direct investment (FDI) dropped 57.2% during the first half of 2023 compared to the same period in 2022, according to the Moroccan Foreign Exchange Office.
Nevertheless, Morocco continues to break records in attracting greenfield FDI projects. In 2022, the country attracted nearly USD 34 billion in greenfield FDI projects, surpassing the previous record set in 2008.
The country has drawn significant interest from Chinese companies, particularly in the electric vehicle (EV) supply chain. Key projects include Gotion High-Tech’s agreement to build its first African Gigafactory in Morocco and Huayou Cobalt’s USD 19.5 billion investment in an EV battery components facility.
In addition to the EV sector, Morocco has received major investments in renewable energy, chemicals, and tourism.