Economic takeoff impossible without healthy social climate, King
Morocco, Politics, 7/31/2004

Morocco's King Mohammed VI on Friday called for what he termed a "new social contract" between the Government and the Trade Unions to pave the way for the country's economic takeoff.

In a State of the Nation address, Friday, on the occasion of the Throne Day, the monarch said "economic takeoff cannot be achieved without a healthy social climate, which encourages investment and creates jobs. I am therefore calling for a new social contract to be agreed upon by government authorities together with the social partners concerned."

The monarch, who is celebrating today the fifth anniversary of his enthronement, made it clear that this contract "should be in the form of a charter, and should be based on several interdependent measures, including a commitment to social stability, broader reform of labor regulations, particularly with regard to the right to strike, so as to guard against any abuse thereof and to protect the economy from wildcat strikes and their negative impact on investment."

Efforts, he emphasized, must also be made to "improve and expand social security and medical cover insurance, to fight poverty and all forms of social exclusion, to kindle the spirit of solidarity and to see prompt action is taken to save retirement schemes before it is too late."

In his speech, which the monarch said he had decided should not consist of a mere listing of achievements, but rather an "opportunity to share with you a vision for the future," he insisted that "appropriate measures must be taken to ensure a life of dignity, by seeing that citizens are provided with decent housing and that shanty-towns and substandard dwellings are eradicated, in accordance with the instructions I have issued in this regard."

Last week, a national program to eradicate shanty towns in Rabat and nearby cities of Sale and Temara, to cost 5 billion Dirhams (around US$ 555 million), was presented at a ceremony chaired by King Mohammed VI.

The first part of the program will benefit 550,000 citizens in 106,500 shanty towns, with, as special objectives, stopping proliferation of unhealthy housing and anarchy in urban areas, developing attractive alternative to illegal housing by increasing supply and resettling 860,000 households living in improper housing.

The program will be carried out in 5 years, between 2004 and 2008.

In his speech, the monarch also touched on the rural world which, he acknowledged, "suffer the most from shortcomings in social services." Consequently, he explained, our economy cannot be upgraded without an effective strategy for the development of rural areas, which is capable of transforming traditional farming into a modern, productive agricultural system.

To attain this objective, he added, we need a new agricultural policy which makes the most of our assets and existing infrastructure, while ensuring that the soil in each region is used to its best advantage.

"The aim is to increase agricultural production and develop the type of agribusiness which is best-suited to the region's natural resources, taking into account environmental constraints, including scarce water resources and desertification."

As far as the reform of the public sector is concerned, the monarch said it will continue to be a top priority. "Despite the progress made, this sector still does not come up to citizens' expectations, and our tremendous resources are still not being used in an optimal way. We must, therefore, reform the management of public affairs, and modernize and decentralize government institutions, through an ambitious plan designed to upgrade the public sector."

Previous Stories:
  Three Moroccan political parties set up 'constructive opposition'   (7/30/2004)
  Spanish FM in Morocco to discuss Sahara issue   (7/30/2004)
  Morocco to celebrate 5th anniversary of Throne Day   (7/30/2004)

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