Système financier marocain : Pour une convergence accélérée vers les standards de l’Union Européenne (Mars 2008)

Abstract

Morocco has engaged important structural reforms aiming at establishing the basis of a strong and durable economic growth. These reforms have enabled for the reinforcement of overall macroeconomic stability, the improvement of business environment and trade openness, combined with the liberalization of key productive sectors.

The financial system, mainly the banking sector, was placed at the hearth of this reforms dynamics, with due regard to its key role in terms of growth reinforcement and economic catch up. Thus, in addition to the privatization of public banks, restructuring of some specialized financial institutions and the development of equity and bond markets, the Moroccan financial sector has seen a deep change of its regulatory and institutional framework to bring it in line with international standards.

Being the main component of the Moroccan financial system (nearly 60% of financial assets), the Moroccan banking sector has a diversified structure which compares favourably with some emerging countries with a level of higher financial development like Mexico or South Korea. This diversification is followed by an increasingly reinforced financial depth and solidity compared to regional average.

Whereas the Moroccan financial sector currently stands as one of the most structured and developed systems in the South-Mediterranean area, the new challenges rising ahead, in particular with the entry into force of prudential rules within the framework of Basle II as well as current and future engagements within the framework of financial services liberalization, put into the agenda the issue of its adaptation to global market forces and competition to tackle the challenges of transition and convergence.

In parallel to the efforts engaged at the domestic level in the area of financial system modernization and deepening, it is worth to say that a significant role falls to the European Union in terms of sustaining the process of real and normative convergence. The new business opportunities such as offshore banking services, represents a powerful factor of attraction of resources resulting both from financial co-operation and FDI. The positive effects of these additional resources on Morocco’s socio-economic fundamental are clearly significant as it would enhance the pace of the process of convergence towards European standards and thus reinforce the credibility of European Union engagements in favour of the ongoing reform process in Morocco.

The purpose of this paper is to draw up the main aspects of financial system reforms in Morocco during the last years. Then, a comparative analysis with some Southern Mediterranean countries and Central and Eastern Europe will be carried out to appreciate most relevant developments. Lastly, an attempt to identify benefits and costs of the adjustment of the Moroccan financial system will be undertaken and a number of suggestions, based upon some successful experiences, will be made in order to accelerate the pace of Moroccan financial sector convergence towards European Union standards.