Rabat - The 2015 Africa Attractiveness index produced by UK-based Ernst & Young (EY) ranked Morocco the third largest recipient of foreign direct investment (FDI) in Africa, with 67 FDI projects.
Rabat – The 2015 Africa Attractiveness index produced by UK-based Ernst & Young (EY) ranked Morocco the third largest recipient of foreign direct investment (FDI) in Africa, with 67 FDI projects.
After two sluggish years, North Africa recorded a strong resurgence of FDI in 2014, particularly in terms of capital inflows and jobs. It attracted 22.2 percent more FDI projects than in 2013, according to the fifth annual EY survey of Africa investment attractiveness.
The annual survey, which analyzes the reality and perceptions of 501 respondents and representative panels of international and local decision-makers, found that North Africa accounted for more than half of all African FDI inflows, compared tojust 19.1 percent in 2013, creating over 80,000 jobs.
“Morocco and Egypt were the biggest winners. The two countries are the region’s dominant economies, are benefiting most from the rebound in investor appetite,” the index said.
Morocco was the third ranked recipient of foreign investment in Africa in 2014, with 67 FDI projects, up 52.3 percent. South Africa topped the list, while Egypt placed second with 71 projects, an increase of 61.4 percent since 2013.
EY said that French companies outpaced Spanish rivals to become Morocco’s leading external direct investors in 2014, adding that financial services and technology, media, and telecoms (TMT) were the favorite sectors for investment.
The index noted that Morocco benefits from its historic ties and proximity to Western Europe, a proactive FDI policy, and its availability of skilled workers at lower wage rates than those in most developed markets.
It also confirmed that Morocco is increasingly positioning itself as a gateway to the fast-growing African continent, particularly for investors from the US and Europe.
These investors have the advantages of a relatively stable business environment and support services, combined with good air links to many other African countries. “The national carrier, Royal Air Maroc RAM, flies to more than 30 African cities,” said the index.
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