• 3 minutes This Battery Uses Up CO2 to Create Energy
  • 5 minutes Shale Oil Fiasco
  • 9 minutes Don't sneeze. Coronavirus is a threat to oil markets and global economies
  • 12 minutes Historian Slams Greta. I Don't See Her in Beijing or Delhi.
  • 6 mins Which type of Hegemony will China follow
  • 17 hours Boris Johnson taken decision about 5G Huawei ban by delay (fait accompli method)
  • 6 hours China gets caught?
  • 7 hours Demand for Diesel vs. Oil
  • 20 hours Yesterday POLEXIT started (Poles do not want to leave EU, but Poland made the decisive step towards becoming dictatorship, in breach of accession treaty)
  • 3 hours Us Shale: Moving the US shale revolution forward
  • 2 days Here is Why People Lose Money Trading Natural Gas
  • 21 hours Environmentalists demand oil and gas companies *IN THE USA AND CANADA* reduce emissions to address climate change
  • 1 day Tesla Will ‘Disappear’ Or ‘Lose 80%’ Of Its Value
  • 2 days Let’s take a Historical walk around the Rig
  • 2 days US Shale: Technology
  • 2 days Governments that wasted massive windfalls

Morocco: Investor Haven in Chaotic North Africa

Morocco: Investor Haven in Chaotic North Africa

Before we get into the oil and gas scene that is suddenly attracting the supermajors to this unexplored venue that has all the promise of the greatest African discoveries of this decade, let’s look at the Moroccan economy as a crucial piece of the investment puzzle.

The Moroccan economy has been growing at a stable—and by most accounts, unprecedented—rate, with growth on average 4%-5% higher than the previous decade. The reasons for this are multiple, but most poignant have been economic modernization and gradual diversification away from dependence on the agriculture sector.

While the Justice and Development Party (PJD)-led government at first attempted to avoid an unpopular reduction in spending on subsidies and public wages—as in Tunisia—by 2012 it was in urgent need of an IMF credit line, and this came along with painful austerity measures. The IMF credit line of $6.2 billion was opened in August 2012 and then extended in July 2013, with a warning that Morocco would have to address subsidies and other financial reforms. By August 2013, this was made clear with an increase in the fiscal deficit for the first half of the year. Summer subsidy reforms came with political implications that included the resignation of five ministers from Istiqlal. Oil subsidy reforms were then delayed until September this year, leading to public protests and giving the opposition Istiqlal an opportunity to score some political points from the sidelines.…




Oilprice - The No. 1 Source for Oil & Energy News