Informal sector contributes 40 percent to Morocco's GDP

The Informal sector contributes nearly 40 percent to Morocco's GDP, that is the equivalent of 180 billion Dhs (around US $20 billion) per year, stated Morocco's minister in charge of Economic and General Affairs.

Rachid Talbi Alami, who was speaking during the House of Representatives question-time session, said the informal sector accounts for over 1,2 million production units generating more than 2 million jobs, that is 20 percent of job opportunities in the national market.

Nearly 72pc of these units, he said, are located in big cities and their surrounding.

According to the minister, the proliferation of informal activities is due to the complexity of red tape, obstacles hindering access to markets and heavy taxes.

The government, which grants a particular importance to the trade sector, has devoted a budget of 105 million Dhs (around US $11.6 million) to carry out 114 projects in 29 provinces, he said, noting that this move will benefit 13,000 tradesmen.