Key takeaways: Law 03-22 of March 9, 2023 establishes Morocco’s new Investment Charter, replacing the 1995 framework. It introduces 4 support schemes: the common grant (up to 30% of investment amount, 50 M DH minimum), the territorial grant (less developed provinces), the sectoral grant (industry, tourism, offshoring), and the strategic project grant (> 2 billion DH, > 500 jobs). The National Investment Commission oversees the entire framework, with regional commissions for local projects.
Context: From the Old 1995 Charter to Law 03-22
Limitations of the 1995 Charter
The former Investment Charter (Framework Law No. 18-95 of November 8, 1995) played an important role in Morocco’s attractiveness for nearly three decades. However, it had several limitations that became critical:
- No direct grants: The framework relied essentially on tax and customs benefits, without direct financial support to investors
- Lack of territorial targeting: Incentives were uniform, with no mechanism for correcting regional disparities
- Cumbersome procedures: Investment agreements with the state were complex and slow to conclude
- No monitoring: No structured mechanism for verifying investor commitments
The 2023 Reform: Law 03-22
Law No. 03-22 forming the Investment Charter was enacted on March 9, 2023 and published in the Official Bulletin No. 7173. It came into effect with its implementing decrees published in December 2023:
- Decree No. 2-23-1 on investment support schemes
- Decree No. 2-23-2 on the National Investment Commission and regional commissions
- Decree No. 2-23-3 setting the criteria for classifying provinces and prefectures for the territorial grant
Stated objectives:
- Achieve a private investment rate of two-thirds of total investment by 2035
- Create 500,000 jobs over the 2022-2026 period
- Strengthen the attractiveness of less developed regions
- Simplify the investor journey
The 4 Investment Support Schemes
1. Common Investment Grant
The common grant (or base grant) is the main support scheme. It is available to any investment project meeting the eligibility conditions.
Characteristics:
| Parameter | Details |
|---|---|
| Rate | Up to 30% of the investment amount (excluding land, study fees, and working capital) |
| Investment threshold | 50 million DH excluding tax (eligibility threshold) |
| Jobs required | Creation of at least 50 permanent jobs |
| Completion period | Maximum 5 years from the signing of the agreement |
| Disbursement | In installments, upon justification of investment expenditure and job creation |
Eligible expenditure:
- Land, buildings, and fit-out
- Production equipment and machinery
- Professional transport equipment
- Patents, licenses, and software
- Staff training related to the project
Exclusions: Land costs exceeding 20% of the total amount, preliminary study costs, and working capital needs are not covered by the grant.
2. Territorial Grant
The territorial grant aims to correct development disparities between Morocco’s regions by offering additional support for investments in less developed provinces.
Mechanism:
Provinces and prefectures are classified into two categories based on socio-economic criteria (GDP per capita, unemployment rate, human development index):
| Category | Provinces Concerned | Additional Grant |
|---|---|---|
| Zone A (priority development) | Laayoune, Dakhla, Guelmim, Tata, Errachidia, Zagora, Figuig, Taroudant, Ouarzazate, etc. | Up to 15% additional |
| Zone B (intermediate development) | Several rural and semi-urban provinces | Up to 10% additional |
Stacking: The territorial grant is cumulative with the common grant. An eligible project in Zone A can therefore receive total support of up to 45% (30% common grant + 15% territorial grant).
Objective: Encourage the relocation of industrial and service projects to the Southern, Eastern, and central regions of Morocco, in line with the advanced regionalization model.
3. Sectoral Grant
The sectoral grant targets investments in strategic sectors identified as priorities for the structural transformation of the Moroccan economy.
Eligible sectors and rates:
| Sector | Additional Grant | Specific Conditions |
|---|---|---|
| Industry (automotive, aerospace, textile, agrifood) | Up to 10% | Local integration, technology transfer |
| Tourism | Up to 10% | Rated hotel units, tourist entertainment |
| Offshoring and services | Up to 10% | Qualified job creation, export turnover |
| Renewable energy | Up to 10% | Minimum installed capacity, local content |
| Digital economy | Up to 10% | Innovation, R&D |
| Health and education | Up to 10% | Territorial coverage |
Stacking: The sectoral grant is cumulative with the common and territorial grants. The theoretical maximum total reaches 55% (30% + 15% + 10%), but cumulation caps are provided in the implementing decrees.
4. Strategic Project Grant
The strategic grant is reserved for mega-projects with a structural impact on the national economy.
Cumulative criteria:
| Criterion | Threshold |
|---|---|
| Investment amount | Exceeding 2 billion DH |
| Jobs created | More than 500 permanent jobs |
| Structural impact | Significant technology transfer, value chain integration, multiplier effect on the industrial ecosystem |
Benefits:
- Grant of up to 30% of the investment amount
- Ad hoc agreement negotiated directly with the Head of Government
- Exceptional tax and customs benefits (beyond the standard framework)
- Priority support from government agencies (land, permits, utility connections)
Examples of eligible projects: Automotive gigafactories, large-scale agrifood processing plants, port logistics platforms, green hydrogen projects, regional data centers.
Grant Summary Table
| Grant | Max Rate | Investment Threshold | Min Jobs | Cumulative |
|---|---|---|---|---|
| Common | 30% | 50 M DH | 50 | Base |
| Territorial | 15% (Zone A) / 10% (Zone B) | 50 M DH | 50 | + Common |
| Sectoral | 10% | 50 M DH | 50 | + Common + Territorial |
| Strategic | 30% | 2 Bn DH | 500 | Specific regime |
Detailed Eligibility Conditions
Investment Threshold
The minimum threshold of 50 million DH excluding tax is the entry condition for the grant schemes. This amount is calculated:
- Excluding recoverable VAT
- Excluding preliminary study costs
- Excluding working capital needs
- Including land within the limit of 20% of the total amount
For projects below 50 M DH: Investors remain eligible for standard tax benefits and CRI (Regional Investment Center) schemes, but do not qualify for Charter grants.
Job Creation
The project must create at minimum 50 permanent jobs (permanent contracts) for Moroccan nationals. Jobs are counted at the date of commissioning and must be maintained throughout the agreement period.
Stability criteria:
- Permanent contracts (CDI) declared to CNSS
- Compliance with the minimum wage (SMIG/SMAG) in effect (see our page on the minimum wage in Morocco)
- Complete social coverage
Compliance with Specifications
Each grant beneficiary must commit to complying with specifications including:
- Investment completion timeline (maximum 5 years)
- Number and quality of jobs to create
- Detailed investment program (nature, amounts, schedule)
- Performance indicators to achieve
- Environmental and social obligations
Other Conditions
- Company creation: The project must be carried out by a company incorporated under Moroccan law, newly created or existing (learn more: create a company in Morocco)
- Regulatory compliance: Compliance with labor, environmental, and urban planning legislation
- Regular tax standing: Tax and social compliance certificates (DGI and CNSS)
National Investment Commission and Regional Commissions
National Investment Commission (CNI)
The CNI is chaired by the Head of Government and includes relevant ministers (Finance, Industry, Tourism, etc.) as well as private sector representatives.
Responsibilities:
- Validation of investment projects of 50 M DH or more
- Approval of investment agreements with the state
- Monitoring of investor commitments
- Definition of strategic investment guidelines
Frequency: The CNI meets at least once per quarter.
Regional Unified Investment Commissions (CRUI)
The CRUI are chaired by regional Walis and manage investment projects at the regional level. They are the entry point for investors, via the CRIs.
Competencies:
- Review of regional investment applications
- Granting of regional authorizations and benefits
- Monitoring of investment projects in the region
Investment Agreements with the State
Agreement Content
The investment agreement is a bilateral contract between the Moroccan state and the investor. It formalizes mutual commitments:
Investor commitments:
- Complete the investment program within the agreed timeline
- Create the planned number of jobs
- Comply with technical and environmental specifications
- Provide periodic progress reports
State commitments:
- Disburse grants according to the agreed schedule
- Grant the planned tax and customs benefits
- Facilitate access to land (industrial zones, free zones)
- Ensure provision of infrastructure (roads, electricity, water, telecoms)
Duration and Monitoring
The agreement has a maximum duration of 5 years for the completion phase, extendable by one year in case of force majeure. A monitoring committee meets semi-annually to assess progress.
Penalties for Non-Compliance
In case of breach of agreement commitments, the penalties include:
- Formal notice with regularization deadline (6 months)
- Proportional reduction of grants based on the actual completion rate
- Full reimbursement of grants received in case of serious default (non-start, cessation of activity before 5 years)
- Forfeiture of tax benefits with retroactive regularization
- Prohibition from benefiting from the scheme for 5 years
Complementary Tax Benefits
Customs Exemptions
Equipment, machinery, and tools imported under agreed projects benefit from customs duty exemption (import duty reduced to 2.5% or 0% depending on the case).
VAT Exemption on Investment Goods
Article 92-I-6 of the CGI provides for VAT exemption on imports and domestic acquisitions of investment goods for a period of 36 months from the start of activity. This exemption applies to:
- Production machinery and equipment
- Computer hardware
- Professional transport vehicles (subject to conditions)
For details on the VAT regime, see our guide on VAT in Morocco.
Professional Tax Exemption (5 Years)
Newly created companies benefit from professional tax exemption for the first 5 years of activity. This exemption is automatic for any new entity, regardless of Charter eligibility.
Advantageous Corporate Tax Regime
Companies benefiting from the Charter can also take advantage of the progressive corporate tax schedule, with a rate of 10% on the first 300,000 DH of profit and 20% up to 1 M DH.
Companies established in Industrial Acceleration Zones (formerly free zones) benefit from a 15% corporate tax rate for the first 20 years.
CRI and Investor Journey
Role of Regional Investment Centers
CRIs (Regional Investment Centers) were reformed by Law 47-18 (2019) to become the investor’s one-stop shop. Their missions include:
- Reception and orientation: Information on support schemes, sectoral opportunities, and available land
- Application processing: Receipt and review of investment agreement requests
- Administrative facilitation: Coordination with government agencies (municipality, urban planning, environment, ONEE, etc.)
- Post-creation support: Investor assistance during the completion phase
Simplified Investor Journey
The typical journey for an investor under the new Charter takes 6 steps:
| Step | Action | Indicative Timeline |
|---|---|---|
| 1 | Application filing at the CRI | D |
| 2 | Review and feasibility study | 30 days |
| 3 | CRUI or CNI review | 15 days |
| 4 | Negotiation and signing of the agreement | 30 days |
| 5 | Investment completion | 1 to 5 years |
| 6 | Monitoring, control, and grant disbursement | Ongoing |
Documents required:
- Detailed business plan (investment plan, financial projections, jobs)
- Company bylaws (or draft bylaws)
- Tax and CNSS compliance certificates
- Environmental impact study (if applicable)
- Site plan and land title (or purchase agreement)
For more on foreign investments in Morocco and the applicable regulatory framework, see our dedicated guides.
Comparison with the CFC Regime
The Casablanca Finance City (CFC) scheme remains distinct from the Investment Charter and specifically targets financial services companies and regional headquarters focused on Africa. The two regimes are not cumulative for the same project.
| Criterion | 2023 Charter | CFC |
|---|---|---|
| Target | Industrial, tourism, service projects | Financial services, regional headquarters |
| Threshold | 50 M DH | No minimum threshold |
| Main benefit | Direct grants + tax benefits | 15% IS on export turnover for 20 years |
| Benefit duration | 5 years (agreement) | 20 years |
| Governing body | CNI / CRI | AMDIE / CFC Authority |
Morocco’s new 2023 Investment Charter represents a major turning point in the country’s attractiveness policy. The shift from a system based solely on tax exemptions to a model of direct grants and territorial support reflects a more targeted and measurable approach. Companies considering a significant investment in Morocco have every interest in exploring this framework from the project design phase.
