The opening of the 2nd Annual Conference on the development of domestic debt markets in emerging economies (GEMLOC) : 07/06/2011

The opening of the 2nd Annual Conference on the development of domestic debt markets in emerging economies (GEMLOC)

Mr. Salaheddine Mezouar, Minister of Economy and Finance, co-chaired with Mr. Janamitra DEVAN, Vice President of the World Bank, in charge of the development of private and financial sectors, Wednesday June 1st 2011 in Rabat, the opening of the 2nd Annual Conference on the development of domestic debt markets in emerging economies (GEMLOC).

GEMLOC is a program launched by the World Bank. Its objective is to make the emerging countries benefit from technical assistance for the development of domestic debt.

This conference, co-organized by the World Bank and the Ministry of Economy and Finance, allows the sharing of experiences among countries in emerging markets namely the development of domestic debt and presents the opportunities Moroccan economy offers to institutional investors.

Were present during this conference, besides experts from the World Bank, some twenty emerging countries from Europe, Latin America, Africa and Asia as well as international investment funds.

In his opening speech, the Minister stressed that this event is part of the strategic choices of Morocco based on liberalization, openness and the anchor of our economy into the global economy. This strategy of openness was reflected through the signing of several free trade agreements, foreign investment protection and double taxation.

In the same way, Morocco pursued a policy of flexibility of its exchange regulations which resulted in a total liberalization of capital transactions of non residents as well as liberalization of investments and direct investments of Moroccans residing abroad.

The Minister focused on economic growth in Morocco during the last decade which was characterized by a diversification of economy and the emergence of high potential sectors. These results were achieved within a stable and controlled macroeconomic framework and earned Morocco the respect of the international financial community.

Because of this recognition, Morocco was awarded an "investment grade" by Standard & Poor`s in March 2010, in an international context dominated by the conservatism of rating agencies and the deterioration of the rating of several countries.

The Minister added that the international investors expressed their trust in the potential of the Moroccan economy, taking the opportunity of Morocco’s entry into the international financial market, in September 2010.

As to the financial sector, Mr. Mezouar highlighted the reforms that allowed morocco to have a robust and efficient financial system and to provide economy with the best financial terms.

Regarding the financing of the Treasury, he stressed that the modernization of the domestic debt market pursued for twenty years with the objectives of efficiency, liquidity, security and transparency, allowed Morocco to have an efficient and effective market, which became the main source of financing of the Treasury.

At the end of his speech, the Minister thanked the World Bank and the conference participants for their contribution to enriching the debate on such important issues as public debts and seeking new Treasury Financing Strategies.