Rabat – Morocco has moved up five places to rank 30th in the Global Entrepreneurship Monitor’s (GEM) National Entrepreneurial Context Index (NECI), according to the GEM 2023-2024 Global Report launched on February 13th at Hassan II University of Casablanca.
The NECI measures the 12 Entrepreneurial Framework Conditions (EFCs) that make up the environment for entrepreneurial activity in each country. Morocco scored higher on 8 of the 13 EFCs compared to 2022, with the biggest increase being in the category concerning government policy and the biggest decrease in entrepreneurial finance.
GEM surveys experts in each country to assess the EFCs on a scale from 0 (very inadequate) to 10 (very adequate). Morocco’s overall NECI score remained unchanged from 2022 at 4.3, but its ranking rose from 35th to 30th thanks to bigger drops in other countries. The lowest Moroccan score was just 2.1 for the category relating to entrepreneurial education in school.
New GEM questions in 2023 looked at social support and resource access for women entrepreneurs. Morocco scored 2.9 for social support, ranked 41st, and 4.9 for resource access for men, ranked 29th.
The GEM Global Report launch at Hassan II University was attended by GEM teams worldwide and Moroccan dignitaries. It coincided with GEM’s 25th anniversary, having surveyed almost 4 million entrepreneurs globally since 1999.
GEM surveys adults about their attitudes, activities and aspirations related to entrepreneurship. In Morocco, 40% said their household income decreased in 2023, down from 60% in 2021. 45% knew someone who had recently started a business, while 70% saw good opportunities locally. About one-quarter intend to start a business in the next three years.
The rate of early-stage entrepreneurial activity was 6.3% of adults, up from 4.2% in 2022 but the lowest in the GEM Level C grouping and third lowest overall. Men were nearly twice as likely as women to be starting new businesses. Over 80% of entrepreneurs cited needing to earn a living due to scarce jobs as a motivation.
Morocco is an important case study for policymakers in fostering youth entrepreneurship. Major new programs like Forsa and Awrach aim to assist over 250,000 young entrepreneurs and job seekers. GEM data assists research and decisions on promoting entrepreneurship.
“The assessments and conclusions are very useful for researchers, academics, policymakers and the government as they develop strategic interventions to promote entrepreneurship in Morocco,” said Abdellatif Komat, Dean of Hassan II University of Casablanca.
Morocco provides a great example of how sustained research efforts can inform better policy.
The GEM Morocco team has conducted annual surveys since 2015. This consortium of national research teams associated with top academic institutions conducts over 150,000 interviews annually across more than 120 economies. With participation from over 370 specialists and 150 academic institutions, GEM boasts the world’s largest dataset on individual entrepreneurs.
Their efforts have produced GEM’s first Global Report launched in Africa, which provides a basis to highlight future opportunities for expanded studies across the continent.
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