Sánchez stresses in Rabat the strength of trade and investment relations between Spain and Morocco

Rabat (Morocco)

This meeting, jointly organised by the General Confederation of Moroccan Enterprises (CGEM) and the Spanish Confederation of Business Organisations (CEOE), was attended by representatives of the Spanish and Moroccan business community, an event that takes place on the eve of the 12th High-Level Meeting between Spain and Morocco, to be held on Thursday.

At the closing ceremony of this business meeting, President Sánchez highlighted the intense process of modernisation of the Moroccan economy, stressing that this reality reinforces the country as "a true benchmark in the region", due to factors such as political and institutional stability and endorsed by the confidence of the international financial community in its economic policy. The President of the Government addressed the complex context in which this modernisation has taken place, highlighting the COVID-19 crisis, the drought and the effects of the Russian invasion of Ukraine.

Spain and Morocco: robust economic relations

Pedro Sánchez stressed that both countries are facing adverse conditions, with measures that are moving their societies forward while modernising their economies. "We do so from a shared vocation of economic openness and ignoring those who want to use this situation to close in on themselves", he stressed.

With regard to bilateral trade relations, the President of the Government stressed the importance of the agreement to normalise the passage of people and goods through land and sea customs posts. He also addressed the excellent economic relations between the two countries, stressing that between January and October last year, 55.4% of Spanish exports to Africa were destined for Morocco, reaching the figure of €9.87 billion. As for the figures for Spanish imports by Morocco in the same period, they reached an all-time high of €7.27 billion.

The President of the Government of Spain, Pedro Sánchez, together with the Head of Government of the Kingdom of Morocco, Aziz Akhannouch, at the closing ceremony of the Spain-Morocco Business Forum | Pool Moncloa/Fernando Calvo

"There is another value with much more symbolism that measures the true magnitude of this relationship," said Pedro Sánchez, and that is "the 17,600 Spanish companies that export to Morocco".

The president emphasised that Spain is now Morocco's third largest investor, something that has a direct impact on employment. This reality, he said, is visible in sectors such as textiles, agriculture and the automotive industry, where more than 20,000 direct jobs have been generated. To this effect, today there are 674 Spanish companies with at least 10% of Moroccan capital and 529 Moroccan companies that are subsidiaries of Spanish companies.

This strong business presence has been favoured by the opening of the Moroccan economy to the outside world. In this regard, Pedro Sánchez recalled the importance of the African Continental Free Trade Agreement signed by most of the countries in the region and stressed that through this agreement "Morocco can play a key role for Spanish companies as a platform for entry into Sub-Saharan Africa".

Pedro Sánchez stressed that Spanish companies want to contribute to the transformation of the Moroccan economy, emphasising in particular the importance of continuing to remove barriers to trade and investment, "making legal certainty the key tool for boosting our economic relations". To continue supporting projects of common interest, the President of the Government referred to the imminent signing of a new Financial Protocol that will double the financing available for Morocco to €800 million.

During his speech, the President of the Government also addressed a common objective of both countries: the need to accelerate the decarbonisation of their economies. "For this reason, it is strategic for Spain and Morocco to promote the development of clean energy in sectors such as green hydrogen and biomass," he said, stressing that the two countries now have the necessary conditions to lead the paradigm shift in this area.

The XII High-Level Meeting, a historic Summit

The President of the Government of Spain, Pedro Sánchez, together with the Head of Government of the Kingdom of Morocco, Aziz Akhanouch, during the military honors at the Mohammed V airport in Rabat | Pool Moncloa/Fernando Calvo

In addition, during his speech at the Business Forum, the President of the Government referred to the High-Level Meeting to be held this Thursday in Rabat, stressing the importance of this meeting for Spain and Morocco. Pedro Sánchez has reiterated that it will give new impetus to cooperation between the two countries in many areas of common interest in which cooperation already takes place. This summit, he stressed, will serve to consolidate the agreements adopted with His Majesty King Mohammed VI on 7 April last, as well as to open a new stage that will allow Spain and Morocco to take advantage of the potential that the link between the two countries offers.

"Spain and Morocco share the ambition to move forward in this new stage," said President Sánchez, highlighting the imminent signing, during the RAN, of 24 agreements with the participation of a ministerial delegation at the highest level. "The better the relationship between Morocco and Spain, the better for Spain and the better for Morocco, and also for Europe", he assured, stressing that the stage that begins with the holding of this summit will lay new foundations of trust, mutual respect and understanding, and compliance with what has been agreed.

Non official translation