Morocco Is Africa’s Second-Best Outsourcing Destination

Rabat – Morocco ranks 28th out of 78 on a list of the world’s best outsourcing destinations, making the North African country the second-best outsourcing destination in Africa and the fourth in the Middle East and Africa (MENA) region.

In its latest rankins, the Global Services Location Index (GSLI) assessed 78 countries based on 52 metrics that cover four dimensions, including financial attractiveness, labor skill, business environment, and digital resonance.

Morocco jumped 12 places in the ranking between 2021 and 2023.

According to the Index, Morocco’s “cost-competitiveness and multilingual (English, French, and Spanish) workforce along with a renewed focus on digital upskilling have improved the nation’s vision to host tech-related commercial operations.”

It also spoke of the Moroccan government’s plans “to invest millions of dollars in the outsourcing sector to generate roughly 5,000 new jobs by the end of 2026.”

The ranking notably shows that Morocco is among the seven global innovation hubs, ranking just after Singapore, Japan, Hungary, the United Arab Emirates, and Canada, ahead of South Korea.

In October 2022, Morocco’s government signed an agreement to invest MAD 65 million ($5 million) in the outsourcing sector to create 5,000 new jobs by 2026 in Tangier, Fes, Rabat, Casablanca, and Agadir.

The MoU allows four international outsourcing companies to develop their business activities in Morocco. The number of employees in the outsourcing sector in Morocco stood at 120,000 in 2021, with a turnover of MAD 13 billion ($1.3 billion).

The sector has received a massive boost in recent years from state investments in infrastructure projects.

As of 2023, the country has the best IT infrastructure in North Africa, with an outsourcing sector responsible for over 120,000 jobs, and a $1.4 billion annual export turnover.