The 14.4 kilometers that separate Spain from Morocco, Europe from Africa, are the two shores with the greatest economic tension on the planet. The Spanish-Moroccan border is among the four with the most differences. Two of the great indicators reflect this. Per capita income in Spain is 90% higher than in Morocco and Morocco’s Gross Domestic Product (GDP) does not reach 9% of Spain’s.
The -with an English territory and the largest naval base in Europe, managed by North Americans and Spaniards- makes this area one of the most tense borders in the world. At its height are the Rio Grande, which separates the United States from Mexico, or the borders between the two Koreas and the Caribbean between the Dominican Republic and Haiti.
Spain maintains a per capita income of $30,360. For its part, Morocco remains at 3,190
The differences are substantial. Spain maintains a per capita income of $30,360. For its part, Morocco remains at 3,190. In addition, the GDP of Spain exceeds 1,393 billion dollars, while the indicator in its neighboring country barely reaches 119,700 million dollars.
Morocco is far from becoming one of the world’s great economies. Although according to analysts, Rabat’s economy has significant growth potential, there are a number of structural factors that limit its development. Among them are the economic ones, with an excessive dependence on the agricultural sector, a high level of informal economy, an uncompetitive industrial sector, supply to export markets with very little diversification, both in terms of products and destination countries, as they depend too much on markets. mature such as the EU, energy dependency, or a poorly developed financial market. On the other hand, administrative problems. The country has an oversized public sector and low efficiency rates. In addition, it maintains other social problems. It has high unemployment, low per capita income, high poverty, a small middle class, and high illiteracy.
Rabat’s economy presents indicators of very low productivity
The Moroccan economy is characterized by its duality, with traditional sectors in agriculture and services, with very low productivity, and an industrial sector, technological services and communications. It is there where it gains productivity and incorporates technology, the result of industrial relocation processes and the attraction of FDI.
Regarding the composition of GDP, the latest data from the Haut Commissariat au Plan (HCP) indicate that in 2019 13.7% corresponded to the primary sector, 28.7% to the secondary sector and 57.6% to the tertiary sector. .
However, Morocco is a country that is characterized by a political and economic stability superior to that of the rest of the countries in the region. The very dynamic economic growth of the years 2010-2015 has slowed down since 2016. The unemployment rate in 2019 was around 9.3%, although at the beginning of 2020 it was already at 10.5%, particularly in urban areas.
15.6% of all imports from Rabat come from Spain
Spain is the main economic partner of Morocco. 15.6% of all imports from Rabat come from Spain. Regarding exports, Morocco also sends 24.1% to Spain.
Morocco has registered in the last 10 years a commercial exchanges in constant increase, fruit of the increasing industrial development of the country and of the successive tariff reductions resulting from the application of the commercial agreements signed by this country with different countries and regions. Although in most of this period, imports grew at a faster rate than exports, generating a greater trade deficit. In 2018 and 2019, exports grew more than imports.
In 2019, exports of goods from Morocco were 22,020 million euros and imports 39,893 million euros, so the balance of the trade balance stood at -17,870 million euros.
End of the Rota agreement
The bilateral agreement between Spain and the United States that regulates the use of the Rota base, the largest naval base in Europe, together with that of Morón expires this Friday. Moncloa has negotiated for a future renovation.
Several Moroccan media reported a few months ago the intention of the United States to bring the base to Morocco. However, no Pentagon or Defense sources confirmed this fact. Military experts consulted by the Economist believe that it will be difficult for this situation to occur. On the one hand, they highlight the excellent geographical position of Rota, which occupies 2,400 hectares, the largest naval base in Europe. In addition, they argue that the installation would be difficult to reproduce in Moroccan territory, due to its lower infrastructure capacity.
The military base has 6,000 Americans, 2,846 soldiers, 400 civilian workers and 2,610 family members, after the last deployment of the US Anti-Missile Shield.
The expiration of the agreement paralyzes the landing of more North American forces. The US Navy renews its destroyers at the Rota Naval Base. The USS Roosevelt, the first of the rotation, arrived at the Spanish facilities a year ago to replace the USS Carney. As part of that rotation, the US Navy has redeployed a helicopter maritime attack squadron (HSM) to Rota. According to Pentagon sources, Washington is interested in having two more destroyers in Rota, but this would force changes to this bilateral agreement.
Facebook Comments
Disqus