Large Moroccan delegation tours Gulf states to start economic cooperation
Morocco-Gulf, Economics, 2/6/1999

A large Moroccan delegation is touring this February 6-21 Arab Gulf states to revive economic cooperation between Morocco and the six countries forming the Gulf Cooperation Council (GCC).

The 68-member delegation, led by Minister of Finance and Economy Fathallah Oualalou, comprises managers of state-owned and private enterprises and ministerial departments' officials. The delegation will try to encourage Gulf economic operators to invest in Morocco and will expound the advantages provided by the Moroccan new code of investments to foreign investors.

The weakness of cooperation between Morocco and the region is typical of the low volume of inter-Arab trade exchange which account for only 2% of overall Arab trade exchange.

Morocco has, in the past, focused its attention on Europe. However, today, as the world is heading towards globalization and the dismantling of trade barriers, Moroccan authorities are becoming more interested in the Middle East region, with which Morocco shares several features, mainly language, religion and history in addition to complementarity in several economic fields.

The extent of efforts needed is measured by the weakness of trade between Morocco and Arab Gulf States. Indeed, in 1997, Morocco's imports from Saudi Arabia hardly exceeded $16,000 (156,000 dh) while exports stood at only $67,000 (646,000 dh) accounting for 1.45 % of Morocco's total exports.

Morocco's imports from the region are mainly made of oil, plastic and chemical products while exports consist of citrus fruits, canned food, shoes and ready-to-wear garments.

Total Gulf Arab investments in Morocco are estimated at around $1.0 billion, mainly in real estate, tourism and oil sectors.

The delegation will visit the United Arab Emirates (Feb. 6-9), Oman (Feb.9-11), Bahrain (Feb. 11-14), Kuwait (Feb.14-16), Saudi Arabia (Feb.16-19) and Qatar (Feb.19-21).

The tour is the first to the oil-rich region by a senior member of Morocco's Socialist-led government since it was appointed in March 1998.

In an interview he gave earlier this week to the London-based Al-Hayat daily, Oualalou said indicators show that Gulf countries' investments in Morocco will be boosted despite the collapse of oil prices.

Fathallah Oualalou, ascribed the recent slow down in these countries' investments in Morocco to the Gulf War in the early nineties and the collapse of oil prices.

Oualalou said Morocco is endeavoring to lay a bridge between Arab investments on the one hand, and European and American investments on the other. Morocco can be a platform for Arab investors seeking opportunities on the European market, he said.

Previous Stories:
  Morocco expects boosting of Gulf states' investments   (2/4/1999)
  Moroccan delegation to tour Gulf states next month   (1/22/1999)
  Gulf and Moroccan air carriers sign deal on passengers' transportation   (9/7/1998)

Please add a link on your webiste pointing to ArabicNews.com and bookmark ArabicNews.com & subscribe to our daily email news bulletin.

Search