The new support scheme for very small, small, and medium-sized enterprises (SMEs), Adopted by Decree No. 2.25.342 and published in the Official Bulletin on July 3, 2025,  marks a major milestone in the implementation of Morocco’s Investment Charter. This measure aims to boost entrepreneurial momentum, support the creation of sustainable jobs, and address territorial inequalities in a post-COVID economic context and amid the Kingdom’s ambitions for industrial sovereignty.

The new scheme represents a paradigm shift in public support. Rather than ad hoc aid, it establishes a stable and transparent incentive framework for entrepreneurs. By aligning incentives with clear objectives (employment, regionalization, strategic sectors), Morocco is moving toward a more coherent and inclusive industrial policy.

It’s worth noting that this decree is part of broader efforts to improve the business climate, in line with recommendations from the New Development Model. Support for SMEs is identified as a critical lever for sustainable, inclusive, and resilient growth.

Clear and inclusive eligibility criteria

To qualify for this support, investment projects must meet several cumulative criteria: an investment amount between MAD 1 million and MAD 50 million, a projected ratio of at least 1.5 permanent jobs created per million dirhams invested, a minimum of 10% self-financing, and location within an activity sector validated at the regional level. This approach ensures smart selectivity, balancing rigor with accessibility.

These conditions prevent opportunistic projects and ensure public funds are directed toward productive, job-generating, and value-creating investments. It reflects a performance- and impact-driven approach.

Moreover, the regionally defined list of eligible sectors provides essential flexibility to address local specificities. This paves the way for true territorialized industrial policy adapted to each labor market’s potential.

Three types of incentives to stimulate targeted investment

The decree introduces three cumulative grants (up to 30% of eligible investment):

• Grant for stable job creation (up to 10%),
• Territorial grant (up to 15% depending on category A or B zones),
• Priority sector grant (10%).
  These financial incentives aim to promote employment, reduce regional disparities, and strengthen high-potential strategic sectors.

Each grant targets a complementary issue: social (employment), territorial (equity), and industrial (competitiveness). Their combination allows simultaneous targeting of employment, regional balance, and sectoral development.

The 30% cap offers a balanced compromise between incentive and fiscal responsibility. It ensures leverage while maintaining financial discipline for project developers.

A differentiated territorial approach

The territorial grant offers 10% support in category A provinces and 15% in category B, based on an upcoming list. This geographic differentiation corrects regional imbalances by attracting investment to underdeveloped areas. It aligns with the goals of territorial equity and spatial planning emphasized in the New Development Model.

This approach reinforces territorial cohesion by equipping peripheral zones with development tools. It promotes the emergence of new economic hubs beyond traditional urban centers.

The classification of A and B zones must be transparent and regularly updated to prevent rent-seeking behaviors and ensure fair resource distribution.

A focus on high-impact structural activities

The priority sector grant (10%) targets projects with strategic added value. It supports sectors contributing to “economic takeoff,” suggesting a focus on manufacturing, emerging technologies, agribusiness, and renewable energy, though the exhaustive list is still pending.

The goal is clear: to catalyze investments in sectors that boost competitiveness and economic sovereignty. This prioritization aligns public aid with national strategic ambitions.

For maximum effectiveness, a prompt and transparent publication of priority sectors is essential. This will improve predictability and alignment of investment plans with public policy objectives.

Newly established SMEs: A welcome integration

The scheme also includes businesses less than three years old, waiving the revenue requirement. For more mature companies, a turnover between MAD 1 million and MAD 200 million in one of the last three years is required. This inclusion is crucial for boosting entrepreneurship and reducing early-stage business mortality, often hindered by traditional financing constraints.

By removing the turnover barrier for emerging firms, the regime sends a strong signal to young entrepreneurs. It is a direct encouragement for business creation and innovation.

This measure also facilitates access for startups and innovative businesses, which can significantly contribute to national economic transformation despite their limited operating history.

Key role of CRIs and the MarocPME

Regional Investment Centers (CRIs) are at the heart of the system. They handle application submissions, assess eligibility, calculate grant amounts, and draft investment agreements. They work in coordination with the National Agency for the Promotion of SMEs (ANPME), strengthening territorial anchoring and proximity to investors.

This decentralized management accelerates file processing, enhances administrative responsiveness, and ensures better knowledge of the local economic fabric.

MAROC PME, for its part, provides technical support and expertise. It can help standardize practices, strengthen CRI capacities, and spread best practices in investment promotion.

Rigorous and phased disbursement procedures

Grants for territorial and priority activities are disbursed in two phases: 50% after reaching half of the committed investment, and the remainder upon fulfillment of contractual obligations. The job creation grant is disbursed based on supporting documents from the CNSS, ensuring traceability and formal sector alignment.

This phased disbursement approach encourages beneficiaries to fulfill long-term commitments. It instills a culture of results and accountability.

By linking payments to tangible indicators (investments made, jobs declared), the system boosts transparency and public credibility with economic stakeholders.

Controlled incentive capping

The 30% cap on cumulative grants prevents windfall effects while ensuring meaningful support. The decree also allows stacking with regional support programs, fostering synergy between national and local public policies.

This rule protects public finances while enabling intelligent coordination between governance levels.

Ambitious investors can thus develop hybrid and optimized financing plans by leveraging multiple complementary support mechanisms.

A favorable political and economic context

This scheme reflects Morocco’s royal vision for a productive and inclusive economy, often emphasized in royal speeches, including the 2022 Throne Speech. It supports the implementation of Framework Law 03.22, the legal backbone of the new investment policy. As the country seeks to reconfigure value chains and attract private investment, this regime enhances SME competitiveness, which represents over 90% of Morocco’s economic fabric.

Morocco has strong ambitions for reindustrialization and local development. This regime translates those ambitions into structured and actionable measures.

It also comes at a strategic time to reposition the Kingdom as a regional industrial hub, especially in high-value-added sectors.

Recommendations to maximize impact

To optimize the regime’s effectiveness, several recommendations emerge:

• Expedite publication of sectoral and territorial lists to provide clarity to investors,
• Provide targeted training for CRI staff to better support SMEs,
• Establish a public performance dashboard to track commitments and results, fostering transparency and trust.

A fully digitalized process—including a national portal for applications and tracking—could further streamline the investor experience.

Finally, a targeted and educational communication campaign would enhance the scheme’s reach, especially among rural and emerging areas.

 A Decisive step toward a more inclusive economy

This new SME support regime marks a strategic shift for Morocco’s economy. By combining employment promotion, territorial justice, and strategic sector development, it offers a coherent, incentive-based, and structured framework. Its success now hinges on operational execution, regional stakeholder engagement, and effective governance.

Through this scheme, Morocco reaffirms its commitment to making SMEs a core driver of economic growth, innovation, and sustainable job creation.

Close monitoring and agile adjustments will be necessary to ensure equitable and impactful implementation across the national territory.