Edition No. 1 January 2018 Doing Business Guide This guide has been produced by the Morison KSi Moroccan member firm About This for the benefit of their clients and associate offices worldwide who are Guide interested in doing business in Morocco. Its main purpose is to provide a broad overview of the various issues that should be considered by organisations when considering setting-up business in Morocco.

The information provided cannot be exhaustive and – as underlying legislation and regulations are subject to frequent changes – we recommend anyone considering doing business in Morocco or looking to Morocco as an opportunity for expansion, should seek professional advice before making any business or investment decision.

While every effort has been made to ensure the accuracy of the information contained in this guide, no responsibility is accepted for its accuracy or completeness.

The information in this guide is up to date as at the edition date.

For more information, please contact:

Auditia www.auditia.ma

Mr Adil Charradi E: [email protected] T: +212 5 22 27 41 81

113 Avenue Mers Sultan , Morocco

Disclaimer: Morison KSi is a global association of independent professional firms. Professional services are provided by individual member firms. Morison KSi does not provide professional services in its own right. No member firm has liability for the acts or omissions of any other member firm arising from its membership of Morison KSi. www.morisonksi.com USA Edition No. 1 January 2018 Contents

Introduction 1 Business Structures 5 Labour and Personnel 6 International Mobility 7 Taxation System 8 Banking and Finance 10 Reporting Requirements 11 Grants and Incentives 12 Agencies Providing Assistance 13 Why Morocco? expected to reach 3000 km by Introduction 2020. Morocco has witnessed an • Ports: Casablanca is the largest accelerated process of political, port in the country, followed by economic and social reforms, and Tanger-Med, which is the largest its steady economic growth and on the Mediterranean coast of strategic geographic position make Africa in terms of capacity. With it an investment opportunity well a capacity of 8 million containers worth considering. in 2017, it acts as a trans-shipment hub, offering an ideal platform for Besides its privileged geographical serving Europe and the countries position on both the Atlantic of West Africa. Ocean and the Mediterranean Sea, Morocco enjoys significant • Airports: There are 18 intangible assets, making it an international airports, including attractive destination for foreign Casablanca airport – one of the direct investment (FDI): largest in Africa. • Airlines: Royal Air Maroc group, • Institutional, political and the most important Moroccan macroeconomic stability (stable airline, is the second largest in growth, controlled inflation and Africa. reduced debt) • Railway: Morocco is a leader in • Open economy (access to Africa in terms of rail infrastructure, a market of nearly 1 billion ranked 1st on the African continent consumers thanks to free trade and 33rd globally, according to agreements (FTAs) with the World Economic Forum’s Global European Union, USA, Turkey, etc.) Competitiveness Report 2015-2016. • Religious tolerance. • Trains: Morocco is the first African country to adopt a high-speed The country is currently positioned train (TGV). as a production and exportation hub for foreign companies, thanks Proven returns on investment to its various competitive strengths as outlined below. Morocco is an attractive country for foreign investors. The country Cost competitiveness has demonstrated excellent performance over the past few • Low wages – the average years and was ranked the second monthly wage is US$400 most FDI-attractive destination • Export incentives. in 2016, when 12% of FDI projects were initiated in Africa due to its World-class infrastructure mature market and investor-oriented strategies. France, the second According to the Global largest investor in Africa, considers Competitiveness Report 2015-2016 Morocco its ‘favourite destination by World Economic Forum, Morocco for FDI’: in 2016, 27% of French has the best infrastructure in North projects launched in Africa were Africa, ranked 3rd on the African located in Morocco. continent and 6th in the Arab world. Free trade agreements • Highways: Morocco has made major steps forward in extending Through its links with EFTA and its highway network. It has the Arab free trade zone, Morocco already reached 1800 km, and is provides investors with duty-free www.morisonksi.com Morocco 1 access to a market of 55 countries. A reassure investors that they have strong legal framework of FTAs has the right platform for entering the developed Morocco’s commercial African market relations and puts it at the • Morocco has signed almost crossroads of the main international 1,000 agreements and treaties exchange routes, linking the USA, with various African countries, Europe, Africa and the Middle East. many of which have been visited personally by King Mohammed VI Sectorial plans • The expansion of Moroccan Morocco has launched different banks throughout Africa (with strategic sectorial plans to speed a presence in over 20 countries the development of strategic now) demonstrates the role of and promising sectors such as Morocco as a major geopolitical agriculture, mining, renewable player within the continent and on According to the World Bank’s Doing energy and automotive the global economic stage. Business 2018 report,1 Morocco ranks manufacturing: 69th among 190 economies, a rise Apart from being a land of mystery from 75th in the previous edition and • Green plan – aims to revive and one of the most popular tourist 94th in 2012. The country’s current Morocco’s agriculture, which is destinations for many people from ranking as 1st in North Africa, 3rd in the main driver of the country’s every corner of the globe, Morocco Africa and 4th in the MENA region economic growth has become a favourite investment confirms the positive evolution and destination for many of the world’s continued development reported • ‘Digital Morocco’ plan – aims to global companies due to its strategic over the past 5 years by the position Morocco as a dynamic position and economic/political Moroccan government. emerging country in IT stability. • Halieutis plan – aims to improve Stable government the performance of fishing Strategic position industry by developing landing Morocco is the safest and most infrastructures and equipment Fully exploited its geostrategic stable country in the MENA region competitive advantages, Morocco for investors, having escaped the • ‘Plan Rawaj 2020’– aims to revive has gradually established itself impact of the so-called ‘Arab spring’ and improve interior trade as a business and finance hub which has seen a sharp rise in • National pact for industrial and gateway to Africa. Straddling political instability, security problems emergence – aims to support the Atlantic Ocean and the and social unrest among Morocco’s national and foreign industrial Mediterranean Sea, its proximity north African neighbours and other investment via contract between to Europe, the Middle East and Arab countries over the past 6years. the country and private sectors, the Americas make it an attractive Unaffected by this turmoil, Morocco targeting six priority sectors: jurisdiction for investors – especially has clearly maintained its economic offshoring, automobile, those keen to establish a presence and political stability, giving it a aeronautics, electronics, textile in the Middle East and North Africa competitive advantage. and agribusiness (MENA) region or Africa more generally. Morocco has also distinguished itself Morocco as a gate to Africa through its proactive focus and Strong economic growth communication policy that works to The country’s administrative integrate and involve the public in and macroeconomic stability, Morocco has witnessed a fast- the fight against terrorism. connectivity with the world and growing economy and an policy of national and continental accelerated process of political, Linguistic diversity economic expansion are assets that economic and social reforms. Its have established Morocco as a key steady economic growth makes it an Morocco’s strategic position at the force in the African continent. investment opportunity well worth crossroads of Greater Maghreb, considering and the target of several • Morocco has re-joined the African foreign investors. 1. Available at http://www.doingbusiness. Union (AU), which helps to org/~/media/wbg/doingbusiness/docu- ments/profiles/country/mar.pdf www.morisonksi.com Morocco 2 Europe and the rest of the African Main sectors The Moroccan government has continent, has contributed to its implemented two strategic plans, complex multilingual profile: Natural resources ‘Vision 2010’ and ‘Vision 2020’, to boost the sector. Vision 2020 plans • Arabic is the country’s official Phosphates comprise Morocco’s to double the size of the sector language, widely used in formal principal mineral resource, with to reach 20 million visitors and settings. an estimated 77% of the world’s establish Morocco as one of the top total phosphate reserves. Morocco destinations worldwide. • French is still widely spoken in remains the world leading producer Morocco. It is used as the second of phosphate rock and also produces Textile prominent official language other important minerals such as behind Arabic (10 million speakers) salt, copper, manganese, barium, Textile is an important sector in – mainly for business, education, titanium, silver, cobalt, gold and zinc. Morocco, contributing 27% of jobs economy and many official and Morocco is the top producer of silver to the national industry aggregates. government purposes. in Africa, and 11th in the world. This makes it a key employer in • English is now being taught the country, representing 7% of in schools from Year 4. It has Agriculture industrial added value. The sector become increasingly important has demonstrated its reliability and and popular in all domains of life Agriculture plays a crucial role in resilience, despite the economic in Morocco, including economics, the economic and social stability of crisis that has hit key partners such politics, tourism, education and the country. It contributes 19% to as France and Spain. employment. the national GDP, helping to make • Spanish is commonly spoken in Morocco one of the most attractive With a liberalised market and FTAs northern Morocco, which is close countries in terms of investment. with Turkey and the USA, the textile to Spain. clothing industry presents many As agriculture represents one of competitive advantages including the most important sectors in the easy access to the two largest Economy Moroccan economy, the government markets in the world: the European has made considerable efforts to Union and the USA. Morocco has worked hard to improve the investment environment develop its economy over the in this sector, particularly in the Investors in the sector benefit last few years and has, in fact, context of the Green Morocco Plan from numerous other incentives, implemented a series of structural that aims to make agriculture the investment aid, technical assistance, projects and reforms in order to main growth engine of the national financial aid and export promotions. achieve strong and sustainable economy with significant benefits in growth. This has been coupled with terms of GDP growth, job creation, Emerging sectors sectoral development strategies rural inhabitants income and export. that have had positive results on the Renewable energy national economy. Fishing The major sources of Main economic indicators With two seafronts – on the alternative energy in Morocco are Mediterranean Sea and the Atlantic solar and wind. Morocco is making In recent years, the Moroccan Ocean – Morocco has the largest concerted efforts to develop its economy has been characterised by fish market in Africa. Its western renewable energy sector and macro-economic stability and low coastline is exceptionally rich in decrease its reliance on imported levels of inflation: sardines, bonito and tuna; Morocco energy carriers. is the largest canned sardine • GDP is estimated to improve to 3,9 exporter in the world. Morocco has launched a in 2017. concentrated solar power plant • Inflation has been quite stable Tourism (known as ‘Noor’, Arabic for ‘light’) (around 2% over the last 6 years) in Ouarzazate city that will provide One of the main economic drivers electricity for more than 1 million • FDI: In 2016, Morocco was ranked in Morocco, tourism represents the people. When completed, this desert the second largest recipient of third leading sector after agriculture complex will become the largest foreign investment in Africa. and industry. solar power station in the world. www.morisonksi.com Morocco 3 Offshoring "Morocco is becoming The offshore sector has seen rapid one of the world’s development in recent years and continues to show significant leading destinations growth potential. The sector has a in offshoring, offering very positive growth dynamic on the international front, with an estimated significant economic development of 25% per year. opportunities to

Morocco is becoming one of the companies seeking world’s leading destinations in growth" offshoring, offering significant economic opportunities to companies seeking growth. The The leading automotive country’s human resources provide manufacturer in North Africa and top-quality services and skills, while the second in the African continent, its geographic proximity and cultural Morocco is on track to become a sensitivity with Europe are two leading destination for automotive other assets that attract investors. investments.

Automotive manufacturing Aeronautics

The automobile industry is In less than 12 years this sector has considered one of the most shown remarkably fast growth, promising and dynamic sectors from around 10 firms to over 100 in Morocco. It has leapt to international companies today. sustained levels of growth over the last 5 years. Its performance is Morocco is now home to some particularly remarkable in terms of of the world’s leading aerospace export and job creation. The sector manufacturers. Boeing has relocated benefited from the implantation more than 1,000 jobs to Morocco. of various global groups such as Bombardier, which already has a the leading French brand Renault, factory in Casablanca, is moving which is the predominant auto a larger portion of its business manufacturer in the country. PSA operations from Northern Ireland Peugeot Citroen has recently to Morocco and has plans to invest opened a new production unit, close to $200million by 2020 in the set to become operational in 2019; tax-free Midparc zone, located close this is expected to generate 4,500 to the Mohammed V International direct jobs and 20,000 indirect Airport and offering complete tax jobs, especially among component exemption for companies during the suppliers. first 5 years of operations.

www.morisonksi.com Morocco 4 SA (public limited company) to the amount of contributions for Business others. This form is recommended for Structures investors looking to establish large GIE (economic interest investments in Morocco. groupings)

• Number of partners: At least five This is a group with legal personality shareholders that allows its members (who • Capital: Moroccan dirham (MAD) must be a minimum of two) to 3 million to open a listed public share some of their activities to limited company; MAD 300,000 develop, improve or increase the for a public liability company results of these while maintaining their individuality. It is simpler than • Shareholders and liability: the company and more effective Responsibility is limited to the than the partnership – offering amount of contributions. low incorporation fees, flexibility, business purpose and profit-making. SNC (general partnership) Succursale (branch offices) This is suitable for small projects that do not require large capital. Foreign companies looking to do business in Morocco are allowed to • Number of partners: At least two set up branch offices in Morocco. partners • Capital: No minimum • The branch must appoint at least one manager (any nationality) • Shareholders and to represent the company in liability: Responsibility is Morocco unlimited. • Capital: No minimum. SCS (limited partnership) Sole proprietorships • Number of partners: At least two partners Foreigners may establish sole proprietorships in Morocco. In this • Capital: No minimum capital model, the business is conducted The most common business form • Shareholders and liability: under the responsibility of an used by foreign companies is the Responsibility is limited. individual who is personally liable public limited company(SA) and for the debts of the business to the private limited company (SARL). SCA (partnership limited by extent of all business and personal shares) assets. SARL (private limited company) This is a hybrid corporate form, combining some features of a This is the most common legal limited partnership with others of a form, as it is midway between the public limited company. partnerships and limited companies. • Number of partners: Three • Number of partners: At least one sleeping partners and one active partner, maximum 50 partner • Capital: No minimum • Capital: No minimum • Shareholders and liability: • Shareholders and Shareholders are only liable up to liability: Responsibility is unlimited their contribution. and several for some, and limited www.morisonksi.com Morocco 5 A highly skilled workforce for a fixed term or for a specific job. Labour and The parties are free to include in The growth of an economy their contracts all the terms on which Personnel depends strongly on the quality they reach agreement if those are of its human capital. Human compliant with the applicable laws. resources in Morocco have all the advantages needed to become the Health and safety pillars of competitive investments and value creation – including a Any firm employing more than 50 high level of education, advanced employees must offer free medical linguistic capacities and skills in new services to everyone, including technologies. foreigners. This medical service is also imposed on companies Morocco has the necessary with fewer than 50 workers when geographical, political and cultural their activity is likely to cause an capital to be among the top occupational illness. economic performers in the MENA region. To transform this potential It is mandatory for all companies to into reality, the country is working meet the standard safety regulations hard to develop its human capital in Morocco. through improvements in the educational system, development Social security of teacher recruitment and training, alternative educational options, and To get qualify for social security, all so on. employers must register themselves and their employees with the Wages National Fund (known as the ‘Caisse National de Sécurité Sociale’). The minimum wage in Morocco is Participation in this programme 15.46 MAD per hour. The average is mandatory for all Moroccan wage is about 4,000 MAD per employers. month.

Working hours

In Morocco, the legal working time is 44 hours per week in most companies and 48 hours in the agricultural sector.

Annual leave

Duration of annual leave varies according to the worker’s age and their length of service in the company. Generally, it is 1.5 days per month of work. The employee has the right to leave after 6consecutive months of activity.

Contracts of employment

The employment contract is concluded for an indefinite period, www.morisonksi.com Morocco 6 Working in Morocco entails certain • If your family is moving to International steps and formalities for both Morocco with you, they must employer and employee. Entry into independently seek residency and Mobility Moroccan territory could be subject work permits. If you have children, to the submission of an entry visa they do not need student visas to or any other validity document, attend school. recognised by the Moroccan • You must renew your residence government as a travel document. permit 1 year after moving to Morocco. The permit is valid for 1 Anyone planning to settle and work or 2 years, and may be renewed in Morocco, staying for more than 3 an indefinite number of times. months, must register within 15 days of arrival in the country and must apply for a residence permit or a resident card with the foreign office of the Commissioner of the city where they intend to settle.

Visa

• Expats from the USA or any country that is part of European Union do not require an entry visa for Morocco, but all foreign nationals must apply for a residence permit within the first 90 days • Citizens of other countries should obtain an entry visa to visit Morocco • A visa is usually valid for 3 months • After 3 years of regular presence on Moroccan territory, you will be eligible for a residence permit valid for 10 years • Requirements for obtaining a visa may differ slightly based on nationality. You should therefore verify specific visa requirements with your nearest embassy or consulate.

Work permit

• In Morocco, you must be in possession of legal authorisation to work. If you are currently working with a foreign company, they must take care of the procedures for your work permits. You will have to register and apply for a resident card.

www.morisonksi.com Morocco 7 Taxation General regime Losses Value added tax (VAT) Losses may be carried forward and System deducted from taxable profits for a VAT rates are as follows: period of 4years and for an unlimited period if they relate to depreciation • 7% applies to some goods of of fixed assets. No loss carry back is general consumption, such as permitted. water Dividend tax • 10% applies to bank, interests and exchange commission’s Dividends paid are subject to a 15% operations, the supply of catering withholding tax, including to non- services and the activities of some residents, unless the rate is reduced professions (lawyers, interpreters) under a bilateral double taxation • 14% applies to transportation treaty. transactions, electrical energy, etc. Capital gains tax • 20% is the standard VAT rate applicable to transactions other Capital gains are taxable at 20%, for than those subject to the reduced both listed and unlisted companies. VAT rates mentioned above. Relief from double taxation During 36 months of start-up, companies with an investment Morocco has signed double taxation project can obtain VAT exemptions treaties with 50 countries, including on acquisition of equipment and the USA, most European countries, furniture. many Middle Eastern countries, some East Asian countries and some Corporate income tax African countries. The corporate income tax rate Morocco offers various means to depends on the taxable income avoid double taxation; the main according the following scale: mechanism is that the treaty relief Taxable income (MAD) Rate takes the form of a tax credit granted for foreign tax paid on income ≤300,000 10% received from a country with which 300,001 to 1 million 20% Morocco has signed a tax treaty. >1 million 31%

37% for banks and insurance companies If this tax credit exceeds the Moroccan tax, no refund is payable.

Export companies benefit from a total exemption of 5 years since the Specific taxation start of the activity. After this period, Free Zones and offshoring exports are subject to a reduced income tax rate of 17.5%. Free Zones are based in different cities and offer number of tax A minimum contribution of advantages such as: corporate income tax is payable at 0.5% of the turnover with an • Exemption of taxes on dividends exemption during the first 3 years of and partnership shares activity. • Corporate tax is 0% for the first 5 years and then a reduced rate of 8.75% for the following 20 years www.morisonksi.com Morocco 8 • Exemption of license tax and Liaison office and representative urban tax for 15 years office • Exemption of all registration taxes Income tax of liaison offices and and stamp duties representative offices is based on • Exemption of VAT and tax-free 10% of operating costs. repatriation of foreign earnings. Repatriation of profits, (CFC) management fees and royalties

Service companies and holding In respect to the payment of companies with the CFC status management fees, service fees benefit, in respect of their export and royalties that are methods of revenues and net capital gains from repatriating profits to non-resident the sale of foreign securities, from: shareholders, payments made by the Moroccan resident to the • A total exemption from corporate non-resident shareholder must tax for the first 5 years reflect the market value of the • 8.75% beyond this period. services to the Moroccan company. Otherwise, in case of tax audit, the Regional headquarters and tax administration could reassess the representative offices of deduction claimed by the Moroccan multinational companies benefit company. from a reduced rate of 10% from the first year of obtaining ‘CFC status’. Management fees, service fees and The taxable base of regional or royalties are subject to a withholding international headquarters having tax at the rate of 10%. According to this status is calculated as: double taxation treaties, a tax credit could be deducted from income tax • 5% of the operating expenses, if in the other country. the headquarter or representative office makes a loss; or Employee tax

• The higher of taxable income and As a rule, almost all types of 5% of the operating expenses remuneration and benefit received of the said headquarter, if the by an employee for services headquarter or representative rendered are considered as taxable office makes a profit. income.

In terms of personal income tax, The company deducts the employees of CFC companies employee’s income tax from their can choose the most favourable monthly salary. Employee income personal income tax regime, tax is calculated by applying a between a 20% flat tax rate and the progressive rate to the gross salary: progressive standard scale tax.

Offshore holding companies Annual gross salary Rate (Tangier) (MAD) ≤30,000 0% Offshore holding companies based 30,001–50,000 10% in Tangier benefit from a flat tax rate 50,001–60,000 20% of US$500 for the first 15 years for 60,001–80,000 30% portfolio management and equity 80,001–180,000 34% investments in foreign companies. ≥180.000 38%

www.morisonksi.com Morocco 9 international footprints, as well as in order to detect and punish any Banking and several subsidiaries of foreign banks. illegal transfer of funds abroad and Many international banks have either thus preserve the external balance Finance a physical presence in Morocco or of the Moroccan economy. The partnerships established with Exchange Office also monitors Moroccan banks. the repatriation of revenues on exported goods and services, with The banking sector is supervised by the aim of ensuring the recovery of the central ‘Bank Al Maghrib’, which monetary reserves. inspects all banks, bank groups, foreign subsidiaries, microfinance Stock exchange market institutions and offshore banks, as well as the government financing The Casablanca Stock Exchange arm, ‘Caisse de Dépôt et de Gestion’ (CSE) is one of the largest and most (CDG). This authority is operationally important in Africa. CSE is managed independent in making decisions by 13 brokerage companies and on banking supervision, and has an regulated by an independent adequate range of tools for early oversight commission similar to the intervention. SEC.

Setting up a Moroccan bank account Rejuvenated since improvements made to stock market organisation Opening a bank account in Morocco in January 1997, the CSE is now the is a similar process to that elsewhere second biggest in Africa, following in the world. Businesses opening Johannesburg. It is dominated by an account should be registered in large banks and telecommunication Morocco. Local financing is available firms. Finance, telecommunication, to foreign investors on the same and construction firms account for basis as to Moroccan companies. nearly 70% of total capitalisation; the three largest banks alone Most Moroccan banks are connected account for 30%. to the SWIFT global payment system, allowing quick transfers of Offshore bank accounts foreign currency worldwide. Offshore banks are established in Moroccan banking system Foreign currency and convertible Tangier and dispose of international MAD accounts can be opened for finance engineering specialists in Morocco has one of the best- non-residents. order to manage multi-currency developed banking sectors in accounts, capital investment, Africa: penetration is rising rapidly Foreign exchange regulation transfer and fund repatriation and recent improvements in services, investment financing, macroeconomic fundamentals have The Exchange Office is responsible foreign trade transactions, purchase helped to resolve previous liquidity for enacting measures related of credit and issuance of bonds and shortages. The sector’s product to exchange regulations. In this guarantees. offering also continues to evolve, context, the Exchange Office has including the recent creation of a full delegated to banks the power to As in any jurisdiction classified as a system and law of sharia-compliant freely make almost all financial tax friendly jurisdiction, opening an banks. Morocco’s institutions include payments outside Morocco in offshore bank account in Tangier some of Africa’s largest banks, many relation to activities such as export requires specific management by of which have become major players and import operations, international resident agents. Besides little or no on the continent and continue to transport, insurance and reinsurance, taxation, it also affords anonymity expand their footprint. technical assistance, travel and and protection. tuition. By virtue of this liberalisation The sector has a reasonably process, the Exchange Office competitive landscape, with a number strives to ensure the verification of large home grown institutions with of operations delegated to banks www.morisonksi.com Morocco 10 Reporting Accounting reports The structure of accounts in Requirements Morocco is based on the French model. All entities must establish annual summary financial statements, at the end of the financial year, based on accounting and inventory records drawn in the daybook, the general ledger and the inventory book.

For tax purpose, entities must establish their financial statements and tax form within 3months of the end of the fiscal year.

Publication requirements

Financial statements consist of a profit and loss account, a statement of recognised gains and losses, a balance sheet, a cash flow statement and related notes.

All trade companies must communicate their statutory financial accounts to the trade court within 1month of the annual general meeting.

Audits

Audit is required for all public limited companies, listed companies, banks and insurances and for all other companies with an annual turnover of more than 50 million MAD.

In Morocco, a company’s audit must be done by a statutory auditor appointed during the annual general meeting for a 3-year period. For some companies (e.g. listed, public, banking, credit institute, insurance), the audit must be led by two statutory auditors.

Appointed auditors must be registered chartered accountants and comply with the ethical standards of their professional institute.

www.morisonksi.com Morocco 11 This programme tends to meet Export growth contract Grants and the needs of companies in terms of technical assistance, transfer of To promote export, the government Incentives skills and digital development. The implemented the export growth performance levers are: contract programme, which is managed by ‘Maroc Export’. • Business development and Eligibility requires a strong restructuring strategy commitment on the part of the • Leadership and governance exporting company, to define and implement its export project. The • Operational performance programme aims to: • Digital development • Generate additional export • Market development Through business agencies, the operations Moroccan Government offers a • Management of innovation • Allow exporting companies to number of additional fiscal and • Access to capital. access certain means necessary non-fiscal incentives to start-ups and for the development of their businesses in general. Some of these products in target markets are described briefly below. Tahfiz programme • Strengthen the positioning of Managed by The National Agency Imtiaz Growth programme exporting companies in the target for the Promotion of SMEs (L’Agence markets Nationale pour la Promotion des This is an investment grant led • Convert occasional exporters Petites et Moyennes Entreprises, by MAROC PME, and applies to to professional and regular ANPME), this programme provides industrial SMEs that: exporters. the following benefits for a period of 24 months for up to five employees: • Achieved a turnover of 10-200 Through this programme, the million MAD during the last government reimburses up to90% • Exemption from employee financial year of companies’ marketing and income tax of gross monthly promotion expenses. • Have a development project that salary up to 10,000 MAD encourages growth and creates • Exemption from the employer’s value and jobs. Moroccan depollution fund share of the contribution due to the social security agency. These development projects could This is an incentive instrument and be internal or external growth, but a financial support that aims at must aim to increase the production Investment treaty encouraging industrial and craft capacity of the entity. enterprises to carry out depollution Based on a treaty signed with the or resource saving investments The amount of the investment grant government related to investments and introduce an environmental is 20% of the development project, that exceed 100 million MAD, dimension into their activities. It with a cap of 10 million MAD. companies benefit from exemptions aims to: and state participation. The These projects could be self- participation can reach 20% of the • Ensure compliance with financed or financed through a cost of acquisition of the land or environmental regulations vocational training. The state may financial institution. • Upgrade national industries in also finance infrastructure costs up anticipation of globalisation of to a maximum of 5% of the cost of Mousanada program the international market the project. Customs duties and VAT on fixed assets are also exempt. • Reduce use of natural resources. Mousanada is a programme led by MAROC PME in favour of SMEs with turnover of less than 200 million Industrial firms MAD in phase of growth or change of scale wishing to strengthen their Industrial entities are totally exempt competitiveness. from corporation tax for the first 5consecutive years of operations. www.morisonksi.com Morocco 12 L’Agence Nationale de Direction Générale des Impôts Agencies Promotion de l’Emploi et des (DGI) Compétences (ANAPEC) Providing The Tax Administration manages Assistance ANAPEC is a national recruitment mainly four state taxes (corporate agency that specialises in: tax, income tax, value added tax, registration and stamp duty). It • Intermediation in the labour is also responsible for managing market three local taxes on behalf of local authorities (business tax, tax on • Management of measures for dwellings and tax on communal employment services). • Promotion of self-employment www.tax.gov.ma • Monitoring of the labour market and employment. Maroc Export www.anapec.org The Moroccan Center for Export Promotion (CMPE) is a public Maroc PME institution that aims to contribute to the development of the national This is a national agency for the economy in foreign countries. promotion of SMEs. It particularly aims to: www.marocexport.ma • Strengthen the competitiveness of ecosystems and very small Exchange Office enterprises The Exchange office is responsible • Promote entrepreneurship for two main tasks: and the animation of the entrepreneurial ecosystem • Enacting measures relating to A number of Moroccan through deployment of the status exchange regulations of the “self-entrepreneur” organisations and agencies aim to • Establishing the statistics of accelerate the growth of foreign • Create a new generation of foreign trade and balance of businesses by providing services entrepreneurs and very small payments. and offering additional fiscal and and medium enterprises with non-fiscal incentives to SME. a structured and high-impact www.oc.gov.ma business model. Centre Régional des Douanes (Customs) Investissement (CRI) www.marocpme.ma Customs is a tax and security The main tasks of the CRI are to Confédération Générale des institution responsible for the simplify procedures, proximity and Entreprises du Maroc(CGEM) collection of duties and taxes uniqueness of the interlocutor, and due to the entry of goods into a the development and promotion of CGEM represents companies territory, as well as surveillance of investment. Its main priorities are: throughout Morocco. It is a strong the territory and various security interlocutor with the public missions. • Help for business start-ups authorities and social partners. • Assistance to investment projects www.douane.gov.ma www.cgem.ma • Maintaining and expanding existing investments. www.invest.gov.ma www.morisonksi.com Morocco 13 The Next Step

To discuss your needs, please contact:

Auditia www.auditia.ma

Mr Adil Charradi E: [email protected] T: +212 5 22 27 41 81

113 Avenue Mers Sultan Casablanca, Morocco

Disclaimer: Morison KSi is a global association of independent professional firms. Professional services are provided by individual member firms. Morison KSi does not provide professional services in its own right. No member firm has liability for the acts or omissions of any other member firm

January 2018 arising from its membership of Morison KSi. www.morisonksi.com