Morocco gets another boost to its growing automotive sector with the announcement that Volkswagen will install a new plant there:
It seems that Morocco has won another battle against its neighbouring arch-rival Algeria, member of the OPEC cartel. After months of secret negotiations with the two countries, German automaker Volkswagen is believed to have finally picked Morocco to install its new plant following suit of French groups Renault and Peugeot-Citroen.
According to sources close to the German company, Morocco’s political stability, sustained macroeconomic growth, incentives to investors, modern infrastructures, burgeoning industrial clusters and growing business presence in Africa are among the key factors that seduced Volkswagen executives.
On the contrary, Algeria was deemed too risky for businesses because of persistent terror threats, political instability and heightened social tensions due to economic hardship caused by the falling oil prices.
In Morocco, there is an utterly different picture. The North African country has managed to build a highly competitive, diversified and attractive economy…[FULL STORY]