Alaj Reviews Overall Achievements and Backs Tazi's Candidacy for 'Patronat' Presidency

As the helm of the General Confederation of Moroccan Enterprises (CGEM) nears its end, President Chakib Alaj used his final press conference to endorse his deputy, Mehdi Tazi, for the upcoming presidential term (2026-2029). This transition marks a moment of continuity and strategic focus for Morocco's business landscape, emphasizing the crucial role of the private sector in the nation's economic development under the leadership of King Mohammed VI.

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This is why the various policies and initiatives undertaken during the term were mainly directed at this category, given that they are the most vulnerable to economic shocks and most in need of financing and improving the business climate, in addition to their fundamental role in creating job opportunities and stimulating the regional economy.

Alaj characterized his tenure as a period of "unlocking potential, revitalization, and implementation," underscoring the CGEM's strengthened position within Morocco's dynamic economic transformation. A significant focus was placed on small, very small, and medium-sized enterprises (SMEs), which constitute 95% of the Moroccan business fabric and a similar proportion of CGEM membership. Recognizing their vulnerability to economic shocks and their critical role in job creation and regional economic activity, policies and initiatives during Alaj's term were primarily directed towards supporting this vital segment.

Notable achievements highlighted include enhancing SME access to public procurement, a sector representing approximately 25% of GDP. Practical measures, such as allocating 30% of public tenders to Moroccan SMEs and granting national companies a 15% price advantage over foreign competitors, were deemed "significant transformations." Furthermore, the CGEM played a key role in addressing the persistent issue of payment delays, which had severely impacted SME liquidity. The implementation of a law on payment deadlines and the recovery of approximately 2 billion dirhams in late payment fines by the General Directorate of Taxes represent substantial progress.

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These are practical measures, including allocating 30% of public tenders to Moroccan SMEs, and establishing a national preference that allows a national company to win the tender even if its offer is up to 15% higher than that of a foreign competitor.

The new investment charter, specifically targeting SMEs, is viewed as a cornerstone for fostering regional growth and ensuring a more equitable distribution of investment opportunities across the Kingdom. Alaj also pointed to efforts to improve logistical competitiveness, noting that Morocco's logistics costs, at around 20% of GDP compared to 10-12% in developed economies, pose a significant burden. A dedicated program, PME Supply Chain, with a budget of 100 million dirhams, has been launched to bolster logistical capabilities. Additionally, the reform of continuous training systems is deemed essential, as the current system, despite contributions from all companies, only benefits 1% of them, hindering SME development and competitiveness.

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The logistics costs in Morocco amount to about 20% of GDP, compared to 10% to 12% in developed economies, which represents a heavy burden on SMEs in particular.