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 Morocco (2008)Morocco (2007)
 MoroccoMorocco
Background In 788, about a century after the Arab conquest of North Africa, successive Moorish dynasties began to rule in Morocco. In the 16th century, the Sa'adi monarchy, particularly under Ahmad AL-MANSUR (1578-1603), repelled foreign invaders and inaugurated a golden age. In 1860, Spain occupied northern Morocco and ushered in a half century of trade rivalry among European powers that saw Morocco's sovereignty steadily erode; in 1912, the French imposed a protectorate over the country. A protracted independence struggle with France ended successfully in 1956. The internationalized city of Tangier and most Spanish possessions were turned over to the new country that same year. Morocco virtually annexed Western Sahara during the late 1970s, but final resolution on the status of the territory remains unresolved. Gradual political reforms in the 1990s resulted in the establishment of a bicameral legislature, which first met in 1997. Improvements in human rights have occurred and there is a largely free press. Despite the continuing reforms, ultimate authority remains in the hands of the monarch. In 788, about a century after the Arab conquest of North Africa, successive Moorish dynasties began to rule in Morocco. In the 16th century, the Sa'adi monarchy, particularly under Ahmad AL-MANSUR (1578-1603), repelled foreign invaders and inaugurated a golden age. In 1860, Spain occupied northern Morocco and ushered in a half century of trade rivalry among European powers that saw Morocco's sovereignty steadily erode; in 1912, the French imposed a protectorate over the country. A protracted independence struggle with France ended successfully in 1956. The internationalized city of Tangier and most Spanish possessions were turned over to the new country that same year. Morocco virtually annexed Western Sahara during the late 1970s, but final resolution on the status of the territory remains unresolved. Gradual political reforms in the 1990s resulted in the establishment of a bicameral legislature, which first met in 1997. Lower house elections were last held in September 2002, while upper house elections were last held in September 2006.
Budget revenues: $19.39 billion


expenditures: $21.21 billion (2007 est.)
revenues: $16.45 billion


expenditures: $18.98 billion (2006 est.)
Debt - external $16.86 billion (31 December 2007 est.) $16.63 billion (2006 est.)
Economy - overview Moroccan economic policies brought macroeconomic stability to the country in the early 1990s but have not spurred growth sufficient to reduce unemployment - nearing 20% in urban areas - despite the Moroccan Government's ongoing efforts to diversify the economy. Morocco's GDP growth rate slowed to 2.1% in 2007 as a result of a draught that severely reduced agricultural output and necessitated wheat imports at rising world prices. Continued dependence on foreign energy and Morocco's inability to develop small and medium size enterprises also contributed to the slowdown. Moroccan authorities understand that reducing poverty and providing jobs are key to domestic security and development. In 2005, Morocco launched the National Initiative for Human Development (INDH), a $2 billion social development plan to address poverty and unemployment and to improve the living conditions of the country's urban slums. Moroccan authorities are implementing reform efforts to open the economy to international investors. Despite structural adjustment programs supported by the IMF, the World Bank, and the Paris Club, the dirham is only fully convertible for current account transactions. In 2000, Morocco entered an Association Agreement with the EU and, in 2006, entered a Free Trade Agreement (FTA) with the US. Long-term challenges include improving education and job prospects for Morocco's youth, and closing the income gap between the rich and the poor, which the government hopes to achieve by increasing tourist arrivals and boosting competitiveness in textiles. Moroccan economic policies brought macroeconomic stability to the country in the early 1990s but have not spurred growth sufficient to reduce unemployment that nears 20% in urban areas. Poverty has increased due to the volatile nature of GDP, Morocco's continued dependence on foreign energy, and its inability to promote the growth of small and medium size enterprises. However, GDP growth rebounded to 6.7% in 2006 due to high rainfall, which resulted in a strong second harvest. Despite structural adjustment programs supported by the IMF, the World Bank, and the Paris Club, the dirham is only fully convertible for current account transactions and Morocco's financial sector is rudimentary. Moroccan authorities understand that reducing poverty and providing jobs is key to domestic security and development. In 2004, Moroccan authorities instituted measures to boost foreign direct investment and trade by signing a free trade agreement with the US, which entered into force in January 2006, and sold government shares in the state telecommunications company and in the largest state-owned bank. Long-term challenges include preparing the economy for freer trade with the US and European Union, improving education and job prospects for Morocco's youth, and raising living standards, which the government hopes to achieve by increasing tourist arrivals and boosting competitiveness in textiles.
Exchange rates Moroccan dirhams per US dollar - 8.3563 (2007), 8.7722 (2006), 8.865 (2005), 8.868 (2004), 9.574 (2003) Moroccan dirhams per US dollar - 8.7722 (2006), 8.865 (2005), 8.868 (2004), 9.574 (2003), 11.021 (2002)
Exports - commodities clothing and textiles, electric components, inorganic chemicals, transistors, crude minerals, fertilizers (including phosphates), petroleum products, citrus fruits, vegetables, fish clothing, fish, inorganic chemicals, transistors, crude minerals, fertilizers (including phosphates), petroleum products, fruits, vegetables
Exports - partners Spain 20.6%, France 20.5%, UK 4.8%, Italy 4.7%, India 4% (2006) France 21.1%, Spain 20.2%, UK 4.8%, Italy 4.6%, India 4% (2006)
GDP - composition by sector agriculture: 15%


industry: 38.2%


services: 46.8% (2007 est.)
agriculture: 17.3%


industry: 37%


services: 45.7% (2006 est.)
GDP - real growth rate 2.1% (2007 est.) 9.4% (2006 est.)
Imports - partners France 17.5%, Spain 13.9%, Saudi Arabia 6.9%, China 6.9%, Italy 6.3%, Germany 6% (2006) France 17.6%, Spain 13.5%, Saudi Arabia 6.9%, China 6.9%, Italy 6.4%, Germany 6% (2006)
Industrial production growth rate 6% (2007 est.) 4% (2004 est.)
Inflation rate (consumer prices) 2.1% (2007 est.) 3.4% (2006 est.)
International organization participation ABEDA, ACCT, AfDB, AFESD, AMF, AMU, EBRD, FAO, G-77, IAEA, IBRD, ICAO, ICC, ICCt (signatory), ICRM, IDA, IDB, IFAD, IFC, IFRCS, IHO, ILO, IMF, IMO, IMSO, Interpol, IOC, IOM, IPU, ISO, ITSO, ITU, ITUC, LAS, MIGA, MONUC, NAM, OAS (observer), OIC, OIF, OPCW, OSCE (partner), PCA, UN, UNCTAD, UNESCO, UNHCR, UNIDO, UNITAR, UNOCI, UNWTO, UPU, WCL, WCO, WHO, WIPO, WMO, WTO ABEDA, ACCT, AfDB, AFESD, AMF, AMU, EBRD, FAO, G-77, IAEA, IBRD, ICAO, ICC, ICCt (signatory), ICRM, IDA, IDB, IFAD, IFC, IFRCS, IHO, ILO, IMF, IMO, IMSO, Interpol, IOC, IOM, IPU, ISO, ITSO, ITU, ITUC, LAS, MIGA, MINUSTAH, MONUC, NAM, OAS (observer), OIC, OIF, OPCW, OSCE (partner), PCA, UN, UNCTAD, UNESCO, UNHCR, UNIDO, UNITAR, UNOCI, UNWTO, UPU, WCL, WCO, WHO, WIPO, WMO, WTO
Labor force 11.35 million (2007 est.) 10.86 million (2006 est.)
Legislative branch bicameral Parliament consists of a Chamber of Counselors (or upper house) (270 seats; members elected indirectly by local councils, professional organizations, and labor syndicates for nine-year terms; one-third of the members are elected every three years) and Chamber of Representatives (or lower house) (325 seats; 295 members elected by multi-seat constituencies and 30 from national lists of women; members elected by popular vote for five-year terms)


elections: Chamber of Counselors - last held 8 September 2006 (next to be held in 2009); Chamber of Representatives - last held 7 September 2007 (next to be held in 2012)


election results: Chamber of Counselors - percent of vote by party - NA; seats by party - PI 17, MP 14, RNI 13, USFP 11, UC 6, PND 4, PPS 4, Al Ahd 4, other 17; Chamber of Representatives - percent of vote by party - NA; seats by party - PI 52, PJD 46, MP 41, RNI 39, USFP 38, UC 27, PPS 17, FFD 9, MDS 9, Al Ahd 8, other 39
bicameral Parliament consists of a Chamber of Counselors (or upper house) (270 seats; members elected indirectly by local councils, professional organizations, and labor syndicates for nine-year terms; one-third of the members are elected every three years) and Chamber of Representatives (or lower house) (325 seats; 295 members elected by multi-seat constituencies and 30 from national lists of women; members elected by popular vote for five-year terms)


elections: Chamber of Counselors - last held 6 October 2003 (election moved to 2007); Chamber of Representatives - last held 7 September 2007 (next to be held in 2012)


election results: Chamber of Counselors - percent of vote by party - NA; seats by party - RNI 42, MDS 33, UC 28, MP 27, PND 21, PI 21, USFP 16, MNP 15, PA 13, FFD 12, other 42; Chamber of Representatives - percent of vote by party - PJD 10.9%, PI 10.7%, RNI 9.7%, MP 9.3%, USFP 8.9%, UC 7.3%, Al Ahd 5.5%, PPS 5.4%, FFD 4.5%, MDS 3.7%, other 24.1%; seats by party - PI 52, PJD 46, MP 41, RNI 41, USFP 38, UC 27, PPS 17, Al Ahd 14, FFD 9, MDS 9, other 31
Pipelines gas 720 km; oil 439 km (2007) gas 715 km; oil 285 km (2006)
Political parties and leaders Action Party or PA [Muhammad EL IDRISSI]; Alliance of Liberties or ADL [Ali BELHAJ]; Annahj Addimocrati or Annahj [Abdellah EL HARIF]; Avant Garde Social Democratic Party or PADS [Ahmed BENJELLOUN]; Citizen Forces or FC [Abderrahman LAHJOUJI]; Citizen's Initiatives for Development [Mohamed BENHAMOU]; Constitutional Union or UC [Mohamed ABIED]; Democratic and Independence Party or PDI [Abdelwahed MAACH]; Democratic and Social Movement or MDS [Mahmoud ARCHANE]; Democratic Forces Front or FFD; Democratic Socialist Party or PSD [Aissa OUARDIGHI]; Democratic Society Party or PSD [Zhor CHEKKAFI]; Democratic Union or UD [Bouazza IKKEN]; Environment and Development Party or PED [Ahmed EL ALAMI]; Front of Democratic Forces or FFD [Thami EL KHYARI]; Independence Party (Istiqlal) or PI [Abbas el FASSI]; Justice and Development Party or PJD [Saad Eddine El OTHMANI]; Labor Party [Abdelkrim BENATIK]; Moroccan Liberal Party or PML [Mohamed ZIANE]; National Democratic Party or PND [Abdallah KADIRI]; National Ittihadi Congress Party or CNI [Abdelmajid BOUZOUBAA]; National Rally of Independents or RNI [Mustapha El MANSOURI]; National Union of Popular Forces or UNFP [Abdellah IBRAHIM]; Parti Al Ahd or Al Ahd [Najib EL OUAZZANI]; Party of Progress and Socialism or PPS [Ismail ALAOUI]; Party of Renewal and Equity or PRE [Chakir ACHABAR]; Party of the Unified Socialist Left or GSU [Mohamed Ben Said AIT IDDER]; Popular Movement or MP [Mohamed LAENSER]; Reform and Development Party or PRD [Abderrahmane EL KOUHEN]; Social Center Party or PSC [Lahcen MADIH]; Socialist Union of Popular Forces or USFP Action Party or PA [Muhammad EL IDRISSI]; Alliance of Liberties or ADL [Ali BELHAJ]; Annahj Addimocrati or Annahj [Abdellah EL HARIF]; Avant Garde Social Democratic Party or PADS [Ahmed BENJELLOUN]; Citizen Forces or FC [Abderrahman LAHJOUJI]; Citizen's Initiatives for Development [Mohamed BENHAMOU]; Constitutional Union or UC [Mohamed ABIED]; Democratic and Independence Party or PDI [Abdelwahed MAACH]; Democratic and Social Movement or MDS [Mahmoud ARCHANE]; Democratic Forces Front or FFD; Democratic Socialist Party or PSD [Aissa OUARDIGHI]; Democratic Society Party or PSD [Zhor CHEKKAFI]; Democratic Union or UD [Bouazza IKKEN]; Environment and Development Party or PED [Ahmed EL ALAMI]; Front of Democratic Forces or FFD [Thami EL KHYARI]; Independence Party (Istiqlal) or PI [Abbas el FASSI]; Justice and Development Party or PJD [Saad Eddine El OTHMANI]; Labor Party [Abdelkrim BENATIK]; Moroccan Liberal Party or PML [Mohamed ZIANE]; National Democratic Party or PND [Abdallah KADIRI]; National Ittihadi Congress Party or CNI [Abdelmajid BOUZOUBAA]; National Popular Movement or MNP [Mahjoubi AHERDANE]; National Rally of Independents or RNI [Ahmed OSMAN]; National Union of Popular Forces or UNFP [Abdellah IBRAHIM]; Parti Al Ahd or Al Ahd [Najib EL OUAZZANI]; Party of Progress and Socialism or PPS [Ismail ALAOUI]; Party of Renewal and Equity or PRE [Chakir ACHABAR]; Party of the Unified Socialist Left or GSU [Mohamed Ben Said AIT IDDER]; Popular Movement or MP [Mohand LAENSER]; Popular Movement Union or UMP [Mohamed LAENSER]; Reform and Development Party or PRD [Abderrahmane EL KOUHEN]; Social Center Party or PSC [Lahcen MADIH]; Socialist Union of Popular Forces or USFP [Mohammed El-YAZGHI]
Population below poverty line 15% (2007 est.) 19% (2005 est.)
Telephone system general assessment: modern system with all important capabilities; however, density is low with only 4 fixed lines available for each 100 persons; mobile-cellular subscribership is approaching 50 per 100 persons


domestic: good system composed of open-wire lines, cables, and microwave radio relay links; Internet available but expensive; principal switching centers are Casablanca and Rabat; national network nearly 100% digital using fiber-optic links; improved rural service employs microwave radio relay


international: country code - 212; landing point for the SEA-ME-WE-3 optical telecommunications submarine cable that provides connectivity to Asia, the Middle East, and Europe; satellite earth stations - 2 Intelsat (Atlantic Ocean) and 1 Arabsat; microwave radio relay to Gibraltar, Spain, and Western Sahara; coaxial cable and microwave radio relay to Algeria; participant in Medarabtel; fiber-optic cable link from Agadir to Algeria and Tunisia
general assessment: modern system with all important capabilities; however, density is low with only 4 main lines available for each 100 persons


domestic: good system composed of open-wire lines, cables, and microwave radio relay links; Internet available but expensive; principal switching centers are Casablanca and Rabat; national network nearly 100% digital using fiber-optic links; improved rural service employs microwave radio relay


international: country code - 212; 7 submarine cables; satellite earth stations - 2 Intelsat (Atlantic Ocean) and 1 Arabsat; microwave radio relay to Gibraltar, Spain, and Western Sahara; coaxial cable and microwave radio relay to Algeria; participant in Medarabtel; fiber-optic cable link from Agadir to Algeria and Tunisia (1998)
Unemployment rate 15% (2007 est.) 7.7% (2006 est.)
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