Economic promotion and local development

Project description

Title: Promotion of economic growth and local development in remote regions of Morocco (PEDEL)
Commissioned by: German Federal Ministry for Economic Cooperation and Development (BMZ)
Country: Morocco
Lead executing agency: Ministry of the Interior of the Kingdom of Morocco
Overall term: 2015 to 2022 

Context

In Morocco, economic growth has so far mainly focused on key economic centers. Consequently, some provinces are left out of the economic development, due to the distance to these centers and the limited local markets. Local processing and improved marketing of agricultural and artisanal products, for example, offer high potential for economic growth and higher incomes in these areas. The same holds true for improving advisory services. Yet most of the micro, small and medium-sized enterprises (MSMEs) in these rural provinces are barely able to compete. This potential thus remains untapped for creating incomes and jobs.

Objective

The economic performance of MSMEs in selected provinces has improved. Incomes and the employment situation have improved.

Approach

The project is part of the special initiative stability and development in the MENA Region (SI MENA), which contributes to economic growth that creates jobs. 

To this end, the project implements measures in eight remote provinces of the South-East of Morocco (Midelt, Ouarzazate, Tata, Tinghir, Zagora, Errachidia, Azilal and Al Haouz) to promote local economic growth. The project aims to improve the economic performance of around 9,450 enterprises by the end of its term in 2022. In so doing, they are to increase their sales volume, get access to new markets or develop new products. Local MSMEs are supported with improving their ability to identify and exploit existing economic potential. 

In collaboration with its partners in the provinces, the project establishes so called economic promotion councils. These multi-stakeholder platforms promote dialogue between stakeholders of the public and private sector, as well as the civil society. Together, they develop coordinated strategies for local economic and employment promotion. In addition, the project supports selected value chains with high development and impact potential. By offering advisory services and training, and by organizing marketing events, the project contributes to improving the quality and, in particular the marketing of products in these value chains. This includes improving performance and market access as well as increasing profitability in the date, carpet and rosewater value chains. This will enable the entry into new promising markets. 

In close cooperation with the Moroccan Ministry of the Interior, the project is preparing to extend and expand its approaches. The project compiles experiences and best practices in a digital toolbox, which will allow the project approaches to be used in additional regions and provinces.

The project implementation is supported by the consulting firm Como Consult.

Results

  • The project has already improved the economic performance of 7,061 companies. 
  • In 4,225 companies, the employment situation has improved. As a result, incomes have risen, new jobs have been created and/or working conditions have been improved.