Morocco Approves Emergency Plan to Support Tourism Industry Worth MAD 2 Billion

Strategic Insights -

Morocco's tourism industry, which is a significant contributor to the country's economy, has faced immense challenges due to the COVID-19 pandemic and subsequent travel restrictions. In an effort to mitigate the impact, the Moroccan government has approved an emergency plan worth MAD 2 billion ($216 million) to support the sector. The plan aims to protect businesses, ensure the recovery of the sector, and provide financial assistance to individuals who have lost employment.

Key Takeaways:

  • The emergency plan includes five measures to boost the current situation of the tourism industry in Morocco, including the extension of a lump sum compensation of MAD 2,000 ($216) during the first quarter of 2022 for all employees in the tourism sector.
  • The plan also involves the deferral of charges due to Morocco's National Social Security Fund (CNSS) for six months for the abovementioned employees.
  • Hoteliers and tourist carriers will benefit from a moratorium on bank maturities for a period of up to one year, with the state paying interim interest for the months of non-activity in 2021 and 2022.
  • The government will cover the business tax due by hoteliers in 2020 and 2021, as well as grant a state subsidy to the hotel sector worth MAD 1 billion ($108 million) to support investment in maintenance, renovation, and training.
  • Tourism in Morocco made an estimated economic contribution of around $8 billion in 2021, with a share of 7% in the country's GDP.

Statistics:

  • MAD 2 billion ($216 million) allocated for the emergency plan to support the tourism industry.
  • MAD 2,000 ($216) lump sum compensation extended to all employees in the tourism sector during the first quarter of 2022.
  • 58.1% decline in tourism revenues at the end of June 2021, standing at MAD 8.8 billion ($978 million).
  • 7% share of tourism in Morocco's GDP in 2021.
  • Estimated economic contribution of tourism to Morocco's economy in 2021: $8 billion.

Sources:

  • "Morocco Approves Emergency Plan to Support Tourism Industry Worth MAD 2 Billion". (No date provided)
  • Fatima-Zahra Ammor, Minister of Tourism, Handicrafts and social and solidarity economy (No date provided)
  • Statistica: "Tourism contribution to GDP in Morocco 2021" (No date provided)