Friday, May 5, 2017

Morocco Gateway








5 May 2017

Morocco – gateway to Africa

By: Karsten Riise

Morocco has the economic advantages of Europe and Africa.


For efficient export to Europe (and even the USA), Morocco has the advantages of East Asia, skills and infrastructure at competitive costs, but with a closer cross-cultural tradition, and at a 100 times closer logistical position. It if takes 3 weeks to sail goods from Hong Kong to Antwerp, from Tangier, it will probably take less than a week. Time is money, and companies need to adjust their deliveries fast and stay close to their customers, also in Europe.

Morocco as part of the Arab world has a great indirect business importance. Wider than Arab, it is also as a Muslim culture, connecting Morocco with Arabs as well as other Muslim people all the way across Africa, Turkey, Central Asia, Persia and all the way to East Asia. Morocco has probably in a good way has also absorbed ideas of the French tradition of a non-religious state (laïque). However, Islam is not only a world religion, Islam is also a world culture – a uniting community with a lot of warmth.

Today, European countries probably mostly perceive the Arab (and most of the Muslim) world more as a security risk, and sadly not so much as a growing region for investment. However, very many Muslim and Arab countries are growing in economy as well as and in education for all people. But as a paradox, the difficult situation perceived in some other parts of the Arab (and Muslim) world, makes Morocco one of the very most important allies, not only to France, but to the USA and all European countries – including Denmark. All European countries need Morocco to increase her social and economic success as an Arab (and Muslim) partner close to Europe.

European security services have an interest to support Morocco to obtain even more successful business and western government contacts, to promote your development.

Africa is Morocco’s ultimate card.

A continent of 1 billion people is about to become 2 billion in just 25 years. Germany, the EU and all the G-20 countries incl. USA and China, want to vastly increase money investments for business development in Africa. It will happen. Big money will start to flow into African business. And Morocco is first stop for business going from Europe to Africa. So Morocco is right to promote Morocco as a hub, not just for business from Morocco to Europe, but also for investments going from Europe into all of Africa. Develop a “Singapore” model for Morocco in Africa. Singapore is a transit harbor, unloading and reloading goods going to Europe. Singapore is financial hub for money invested in Asia. Singapore has the Asia air connections, the best investment climate and highest educated population in Asia. Last but maybe most important, Morocco can be the place in Africa to go for westerners, who need partners with knowledge and connections about how to do business in the rest of Africa. The more Morocco itself integrates into Africa, the more you can promote Morocco as a place to start doing business in Africa. Banks are excellent for this role, because good banks not just have money – good banks combine knowledge and human networks with money and investment opportunities. Morocco should build banks, too.

It seems clear, how the South is important for Morocco. Morocco needs a land-bridge to Mauritania, Senegal, Mali and West Africa. How to solve this politically, I cannot say – a union, perhaps. Membership of the African Union was a great and absolutely necessary step to integrate Morocco into Africa. Morocco already have great physical connection over water to the North - to Europe. In addition to your excellent water-connectivity, Morocco also needs an excellent physical connection on land to the South – to all the other parts of Africa.

Promoting Morocco as European gateway to Africa will give Morocco friends in Europe and Africa to lift Morocco up as one of Africa’s best connected business centers. If Morocco can convince African countries, especially in West Africa, that Morocco as a leading African business center can help attract business for the benefit of all West Africa, then other African countries see an interest to work in business, diplomacy and public relations, together with Morocco, to make more promotion for Africa. And within this African context, of course, also for Morocco.

Morocco can also increase contacts with Germany. The Africa- agenda of Germany makes Germany want to assist Morocco to be connected - even in Denmark. Germany is Denmark’s most important European partner – Denmark’s government, business and banks listen to Germany. Germany needs Africa to become a social and economic success – make this a part of your global advantage. In the short time-span of only one year, 2016, Germany took in about 1 million refugees from Africa and Syria. Germany doesn’t want to do that again. It became a big issue in Germany, and Germany cannot do it again. But even though Germany is rich, Germany alone is of course not rich enough to lift-up all of Africa. This is why Germany needs the cooperation of the other G20 and EU-countries, including Denmark, that together they can invest the very, very many billions of Euros which must go into Africa every year: To create enough jobs in Africa, so that 2 billion Africans in 25 years can be happy in their own region, instead of migrating to Europe (via Morocco).

The more Morocco becomes a gateway for business going into Africa South of Sahara, the more Morocco will become a Number One European partner.


Karsten Riise
Partner & Editor


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