Moroccan Mortgage

Furthering the massive boosts in Morocco’s economy, this month (September) Morocco welcomed a five-year, $700m aid package from the US Millennium Challenge Corporation (MCC) .

The grant was finalized at a signing ceremony in Tetouan on the last day of August, and will be used to help Morocco combat poverty and develop the Moroccan economy. The plan will stimulate economic growth by raising productivity and improving employment opportunities in certain key sectors, and aims to reduce poverty rates in target areas.

The moroccan government expects the projects included in the program to raise the country’s economic growth rate by 1.1%,  increase gross domestic product by $118m per annum and reduce poverty levels of 20% by 2012.

$111.8m will be spent to promote a project called “The artisan and the Medina of Fez“, to benefit  links between the crafts and tourism sectors and the cultural assets of the Fez medina.

In an excellent blog from Morocco EverythingMorocco says

“Anyone with an interest in Morocco knows that an integral part of the future economic plan involves making revenue from tourism a major source of the national economy’s income. Foreign investment is being encouraged and development in that arena has been ongoing for a long time now.”

With discount airfares from Europe and the promise of an underwater tunnel from Spain, Morocco is preparing for a surge of Foreign visitors and investors. The challenge is to retain and invest in local culture and infrastructure, while benefiting from tourist spending.