ISLAMABAD, MAY 18: Pakistan has deployed 8,000 troops, a squadron of fighter jets, and an air defense system to Saudi Arabia under a mutual defense pact, ramping up military cooperation with Riyadh even as Islamabad serves as the main mediator in the Iran war.
The deployment, the full scale of which is reported here for the first time, was confirmed by three security officials and two government sources, all of whom described it as a substantial, combat-capable force intended to support Saudi Arabia’s military if the kingdom comes under further attack.
Pakistan’s military and foreign office and Saudi Arabia’s government media office did not respond to requests for comment on the deployment.
The full terms of the defense agreement, signed last year, are confidential, but both sides have said it requires Pakistan and Saudi Arabia to come to each other’s defense in the event of an attack. Defense Minister Khawaja Asif has previously implied that it places Saudi Arabia under Pakistan’s nuclear umbrella.
According to the sources, Pakistan has deployed a full squadron of around 16 aircraft, mostly JF-17 fighters made jointly with China, which were sent to Saudi Arabia in early April. Two of the security officials said Pakistan had also sent two squadrons of drones.
All five sources said the deployment includes around 8,000 troops, with a pledge to send more if needed, as well as a Chinese HQ-9 air defense system.
The equipment is operated by Pakistani personnel and financed by Saudi Arabia, they said.
Thousands of troops The military and air force personnel deployed during the Iran conflict will primarily have an advisory and training role, according to two of the security officials, who said they had seen exchanges between the two countries and documents on the military assets’ deployment.
The deployment adds to thousands of Pakistani troops with a combat role that were already stationed in the kingdom under previous agreements, all three security officials said.
One of the government sources, who has seen the text of the confidential defense pact, said it provides for the possibility of up to 80,000 Pakistani troops being deployed to Saudi Arabia, to help secure the kingdom’s borders alongside Saudi forces.
Saudi Arabia launched numerous unpublicized strikes on Iran Two of the security officials said the agreement also involved the deployment of Pakistani warships. Reuters was not able to determine whether any had reached Saudi Arabia.
The scale and composition of the deployment — combat aircraft, air defenses, and thousands of troops — mean Pakistan has sent far more than a symbolic or advisory mission, the sources said.
Reuters previously reported that Pakistan had sent jets to Saudi Arabia after Iranian strikes hit key energy infrastructure and killed a Saudi national, raising concerns that the Gulf kingdom might retaliate heavily and widen the conflict.
This took place before Islamabad emerged as the war’s principal mediator, helping to broker a ceasefire between Washington and Tehran that has held for the past six weeks. Islamabad hosted the only round of US-Iranian peace talks so far, and had planned further rounds, which the sides called off.
Reuters has since reported that Saudi Arabia launched numerous unpublicized strikes on Iran in retaliation for attacks carried out inside the kingdom.
Pakistan has long provided military support to Saudi Arabia, including training and advisory deployments, while Riyadh has repeatedly stepped in to support Islamabad financially during periods of economic stress.
RAWALPINDI, 18 MAY (DNA) — Rawalpindi Police has deployed more than 900 officers and personnel to provide security during the four-day anti-polio campaign started across the district on Monday.
According to the police spokesman, security arrangements have been made for 686 polio teams operating throughout the district, while protection was also being provided at 352 transit points and 232 fixed vaccination centres.
Police mobiles, the Elite Squad and Dolphin Force were conducting patrols in various areas to ensure smooth implementation of the campaign and maintain law and order. The spokesman reiterated that Rawalpindi Police remained committed to protecting the lives and property of citizens and ensuring a secure environment for public health initiatives.— DNA
ISLAMABAD, MAY 18 /DNA/ – Timur Turlov, Founder, Chairman, and CEO of Freedom Holding Corporation, called on Prime Minister Muhammad Shehbaz Sharif, today.
The Prime Minister was assisted by Ms. Shaza Fatima Khawaja, Federal Minister for IT, Mr. Bilal Azhar Kayani, Minister of State for Finance, SAPM Tariq Fatemi, Mr. Haroon Akhtar Khan, SAPM on Industries & Production, and Foreign Secretary Amb. Amna Baloch.
During the meeting, the Prime Minister welcomed Mr. Turlov to Pakistan, and conveyed his warm wishes for H.E. Kassym Jomart Tokayev, President of Kazakhstan. He thanked Mr. Turlov for expressing his keen interest in expanding his business operations in Pakistan, including, through establishment of branches, digital financial services, and correspondent banking partnerships.
The Prime Minister underscored Pakistan’s firm commitment to deliver on a robust economic reform agenda, and to ensure investor-friendly policies, building on the Government’s vision for rapid growth and digital transformation.
Emphasizing the enormous potential of Pakistan’s young population, and expanding digital infrastructure in the country, the Prime Minister invited Freedom Holding Corp. to actively participate in Pakistan’s financial market development. Both sides also discussed possible collaborations in areas such as retail brokerage, Islamic banking solutions, fintech innovation, and capital market development.
Mr. Turlov expressed strong confidence in Pakistan’s economic future, and iterated his company’s commitment to exploring long-term strategic investments aligned with Pakistan’s development priorities.
BEIJING, MAY 18 /DNA/ – Foreign Minister, Wang Yi today conferred on Khalil Hashmi, Pakistan’s Ambassador to China the prestigious Outstanding Diplomat Medal in recognition of his exceptional diplomatic skills and invaluable contribution to strengthening of Pakistan-China relations.
The medal was conferred at a special ceremony held at the Ministry of Foreign Affairs in Beijing. A total of eight current and former ambassadors accredited to China received this award: former top envoys from Russian Federation, Cambodia, Chad and Uruguay and current Ambassadors of Saudi Arabia, Kazakhstan and Colombia.
Among the serving envoys in Beijing, Ambassador Khalil Hashmi became the first to receive this prestigious honour.
Ambassador Hashmi was also the first Ambassador of Pakistan to China to receive this decoration. This was also the first time the Chinese Ministry of Foreign Affairs has introduced conferment of awards to foreign envoys who have demonstrated exceptional skills and made vital contribution to the bilateral relations with China.
In his remarks on the occasion, Ambassador Hashmi expressed gratitude to the Chinese leadership for conferring this honour. He dedicated the award to members of his team, his family and members of the diplomatic service of both countries who have played a leading role in fostering the time-tested friendship between the two countries over successive generations.
Ambassador Hashmi particularly thanked Foreign Minister Wang Yi for his guidance, support and commitment to deepening ties with Pakistan. He also expressed gratitude to the invaluable cooperation support extended by the Asian Affairs Department of the Chinese Foreign Ministry in further strengthening bilateral engagement.
Highlighting the unique character of Pakistan-China relations, Ambassador Hashmi noted that the two countries have consistently stood by each other in moments of challenge and solidarity, from the Kashmir earthquake in 2005 and the Sichuan earthquake in 2008 to global public health emergencies and beyond.
Ambassador Hashmi expressed the resolve that the friendship between Pakistan and China has always been and will continue to be “higher than the mountains, deeper than the oceans, sweeter than honey, and stronger than steel”.
ISLAMABAD, MAY 18 /DNA/ – Chairman Capital Development Authority (CDA) and Chief Commissioner of Islamabad, Sohail Ashraf, held a meeting with a delegation from the Japan International Cooperation Agency (JICA) at the CDA Headquarters on Monday. During the meeting, discussions were held regarding reforms and improvement projects in the water sector. The primary objective of the meeting was to explore further avenues for technical assistance in projects aimed at improving water supply and quality in Islamabad.
It was discussed in the meeting that JICA will work on a comprehensive Master Plan for water supply, sewage and drainage systems for Islamabad. JICA delegation said that the master plan will remain viable until 2060, taking into account the future needs of the City.
The meeting was attended by CDA Member Administration Esfandyar Baloch, DG Islamabad Water Sardar Khan Zimri and other relevant senior officers.
Chairman CDA Sohail Ashraf said that sustainable and continuous efforts will be made to ensure an uninterrupted supply of clean water to the citizens of Islamabad. He further said that JICA will also provide its technical assistance regarding the Shahdara and Dotara Dams.
Chairman CDA mentioned that construction activities on the Shahdara Dam have already commenced. He added that multiple measures are being taken to prevent water wastage, eliminate line losses, and promote water conservation and efficient usage. He said that the completion of these measures will help ensure an uninterrupted water supply and meet the future needs of Islamabad.
Chairman CDA further said that full benefit will be taken of JICA’s technical expertise regarding the Simly and Sangjani water filtration plants. He added that the aim of these measures is to upgrade the basic water infrastructure.
JICA delegation expressed its readiness to provide full technical cooperation to resolve water-related issues in Islamabad.
Subsequently, JICA delegation also visited the Simly and Sangjani water filtration plants.
“Under the leadership of His Majesty King Mohammed VI, Morocco has been able to leverage its geographical position, its industrial policy, its infrastructure, its international partnerships and its diplomacy to become a strategic bridge between continents,” notes the Stimson Center in a report entirely devoted to the Kingdom.
Specializing in issues of international security, global governance, peace and public policy, this independent and non-partisan American think tank based in Washington highlights in a report, published on May 15 on its website , the rise of Morocco as a stable regional actor, industrial, diplomatic and energy-related.
Executive Summary
Morocco enters 2026 as a sophisticated middle power occupying a structurally unique position at the intersection of the Atlantic, Mediterranean, and Sahelian spheres. No longer merely a buffer state for European migration management, the Kingdom has evolved into a proactive regional actor and stable anchor at the crossroads of Europe and Africa. Under King Mohammed VI, Morocco has leveraged its geography to facilitate trade, investment, and security cooperation across continents, effectively reshaping the Maghreb’s strategic architecture through what analysts have termed “strategic transactionality,” a foreign policy based on disciplined alignment of interests- securing diplomatic and economic support while offering cooperation on shared priorities.
This report analyzes Morocco’s ongoing transition from a low-cost manufacturing platform to a high-tech industrial exporter, green energy pioneer, and emerging battery materials hub. It evaluates the New Development Model launched in 2021 against the persistent structural vulnerabilities that constrain it.
Three intersecting dynamics define Morocco’s current trajectory:
The first is economic transformation: The rise of integrated automotive, aerospace, and critical minerals export clusters has materially shifted Morocco’s place in global supply chains, drawing sustained European and Gulf investment and positioning the country as a preferred nearshoring destination amid Western efforts to reduce Chinese supply chain dependence.
The second is social consolidation: The 2021 social protection reform extending health coverage and family allowances to the full population represents the most ambitious domestic policy undertaking in a generation, though its fiscal sustainability depends on continued revenue performance and structural job creation.
The third is diplomatic repositioning: The 2020 Abraham Accords normalization with Israel and the 2025 UN Security Council resolution centering Morocco’s autonomy plan for Western Sahara represent significant multilateral wins, yet a durable resolution to the Algeria impasse remains elusive.
This report synthesizes data from the IMF, World Bank, UN agencies, and leading think tanks to map Morocco’s essential developmental and geopolitical structures, identify the structural tensions between its reform ambitions and its institutional constraints, and contextualize the Kingdom’s role as a pivotal actor in an increasingly contested region.
Economic Landscape
Morocco’s GDP stood at approximately $154 billion in 2024 (World Bank), making it Africa’s fifth-largest economy. Real GDP growth accelerated to an estimated 4.9% in 2025, supported by a rebound in agricultural output and a surge in large-scale infrastructure projects, up from 3.2% in 2024 and 3.4% in 2023. Growth is projected at approximately 4.4% for 2026. Gross National Income (GNI) per capita reached $3,760 in 2024 (Atlas method), maintaining Morocco’s lower-middle-income classification. GNI per capita in purchasing power parity terms stood at approximately $10,150 (current international dollars). Inflation decelerated sharply from 6.1% in 2023 to 0.9% in 2024 and remained low at 0.8% in 2025, reflecting declining energy prices and easing global supply pressures. Bank Al-Maghrib lowered its policy rate twice in 2024 and has maintained a broadly neutral stance since. The central government fiscal deficit narrowed from 4.1% of GDP in 2024 to 3.5% in 2025, despite higher spending on public investment and transfers to state-owned enterprises, reflecting stronger-than-expected tax revenues from ongoing reforms. The government’s medium-term fiscal framework targets a gradual reduction in public debt toward 60.5% of GDP by 2031.
Morocco holds 70% of global phosphate reserves and automotive manufacturing is now the largest export sector. Public debt is approximately 68–70% of GDP, though the government maintains overall fiscal discipline and macroeconomic stability.
Economic Reforms and Vision 2035
Morocco has implemented broad economic and social reforms to drive development and address structural challenges. In 2021, King Mohammed VI’s advisory committee introduced the “New Development Model,” which outlines a strategy for inclusive and sustainable growth through 2035. The plan prioritizes private sector competitiveness, reducing inequality, strengthening education and health systems, empowering regional authorities, and improving governance. It also focuses on job creation, especially for youth, and advancing higher value-added industries.
A major reform launched in 2021 seeks to achieve universal social protection by 2025. This initiative extends health insurance to all citizens, expands pension coverage to self-employed and informal sector workers, and introduces family allowances for all families regardless of income. By 2024, 88% of the population has basic health coverage. The expanded social safety net is funded by reallocating resources from broad subsidies.
Fiscal reforms focus on simplifying and reducing corporate taxes. The standard corporate income tax rate of 30–31% is being replaced by a progressive system from 2023 to 2026, with lower rates for small and medium enterprises and a base rate of 20–25% for larger firms. The government is working to broaden the tax base by formalizing informal businesses and addressing tax evasion. Digitization of tax administration and customs is underway to enhance efficiency and transparency. Public financial management reforms target improved budget execution and accountability. Ongoing infrastructure investments in ports, highways, railways, and digital connectivity aim to strengthen economic competitiveness. Collectively, these reforms are designed to modernize Morocco’s economy, increase competitiveness and exports, and ensure that growth benefits a wider segment of society.
TheTanger Med-Algeciras corridor in the Strait of Gibraltar represents one of the most strategically significant maritime corridors in the world. The Strait itself serves as a chokepoint between the Atlantic and the Mediterranean, with approximately 100,000 vessels transiting annually, carrying more than 10% of global maritime trade. In 2024, Tanger Med handled 10.2 million TEUs (twenty-foot equivalent units), surpassing Algeciras’ 4.7 million TEUs and making it the largest container port in Africa and the Mediterranean. By 2025, Tanger Med had surpassed Algeciras and Valencia combined in throughput. Road freight and Ro-Ro (roll-on/roll-off) ferry traffic between Tanger Med and Algeciras reached nearly 500,000 units in 2025. Between 2008 and 2024, Morocco’s Liner Shipping Connectivity Index (LSCI) ranking improved from 34th to 21st globally, outperforming the M.E.N.A regional average. Foreign direct investment inflows to port-linked industrial zones increased by 12% between 2020 and 2024. Tanger Med has developed an end-to-end digital platform and now hosts over 1,200 companies in sectors including automotive manufacturing, aeronautics, textiles, and advanced logistics. The corridor’s competitiveness has been enhanced by Morocco’s free trade agreements with the EU and the United States, positioning Tanger Med as a preferred hub for near-shoring and export-oriented manufacturing targeting European markets.
Trade Policy and Partners
Morocco is highly open to trade, with trade representing approximately 95% of its GDP as of 2025. The European Union is its leading partner, accounting for 59% of total trade, and two-thirds of exports are directed to Europe, primarily Spain and France. Morocco has established free trade agreements with the EU (2000) and the United States (2006). Since rejoining the African Union in 2017 and joining the African Continental Free Trade Area, Morocco has sought stronger ties with Sub-Saharan Africa, and its firms have expanded across West and Central Africa. Partnerships with China through the Belt and Road Initiative and with Gulf states such as the UAE, Qatar, and Saudi Arabia are also increasing, although Europe remains Morocco’s primary trading partner.
Morocco operates several free zones offering companies tax breaks, subsidies, and reduced customs duties to attract export-oriented investment. Companies registered in Industrial Acceleration Zones are subject to a corporate tax rate of 20% following an initial five-year exemption, and benefit from a 20% income tax rate for employees for up to 10 years – significantly below the standard graduated income tax, which can reach 38%. As part of its strategy to become an African financial hub, Morocco has established Casablanca Finance City (CFC), its flagship financial and business hub offering equivalent incentives to both financial and non-financial firms, domestic and foreign. The CFC regime provides the same tax benefits and is designed to attract regional headquarters of multinational companies. Morocco does not currently have an investment screening process for critical industries such as telecommunications, critical minerals and rare earths, and renewable energy, which represents a gap noted by international investors. The government is also continuing efforts to combat widespread informality in the economy, which limits productivity growth and tax revenues.
Export Sectors
Morocco has diversified its exports beyond traditional products such as phosphates, citrus, and textiles to include higher value-added manufacturing. The automotive sector illustrates this shift, with exports of vehicles, wiring harnesses, engines, and components now representing about 25% of total goods exports, surpassing phosphates. This growth results from sustained investment in infrastructure and workforce development. Major manufacturers, including Renault and Stellantis/Peugeot, operate large factories focused on European markets, supported by hundreds of component suppliers that form an integrated automotive ecosystem. Morocco produces over a million vehicles annually as of 2026, ranking as Africa’s largest auto manufacturer surpassing South Africa.
Phosphate rock and its derivatives remain essential to Morocco’s economy. The state-owned OCP Company controls 70% of global phosphate rock reserves and has transitioned from exporting raw minerals to becoming a global integrated fertilizer producer. OCP operates mines in Khouribga and Youssoufia, processing facilities that convert phosphate rock into phosphoric acid and various fertilizers, and port terminals for export. Significant investments in capacity and downstream processing have positioned Morocco among the world’s leading fertilizer exporters, serving markets in Africa, Europe, Latin America, and Asia.
Morocco’s textile and apparel industry benefits from its proximity to Europe, supplying fast fashion brands such as Zara and H&M with short lead times. The sector faces strong competition from lower-cost Asian producers and must continually modernize to stay competitive. Agricultural and fish exports, including citrus fruits, vegetables, olive oil, and canned fish, remain important, with the EU and African markets as key destinations. The aerospace sector has developed into a high-tech export industry, with over 140 firms — including Bombardier, Safran, Eaton, and many smaller suppliers — producing cables, parts, and assemblies for commercial and military aircraft. Electronics and electrical equipment, particularly automotive wiring systems and electronics assembly, are also expanding export areas.
Critical Minerals
Morocco plays an increasingly strategic role in the global critical minerals landscape. Beyond its dominant phosphate position, the country holds significant reserves of cobalt, copper, nickel, manganese, barite, and fluorine. Morocco is the world’s ninth-largest producer of cobalt and holds the eleventh-largest cobalt reserves globally. These minerals are essential inputs for electric vehicles, renewable energy systems, semiconductors, and defense industries. The state-owned mining company Managem is Morocco’s primary cobalt producer, operating the Bou Azzer mine and supplying battery-grade cobalt to major European automakers. Managem has signed supply agreements with BMW and Renault Group, committing to supply approximately 5,000 tonnes of low-carbon cobalt sulphate annually for seven years starting in 2025, supporting roughly 15 GWh of battery production per year. Morocco’s reserves include approximately 30 million metric tonnes of phosphates, 1.5 million metric tonnes of manganese, 45 million metric tonnes of cobalt and nickel combined, and 5 million metric tonnes of copper.
Morocco is positioning itself as a battery materials hub, leveraging its phosphate dominance for lithium iron phosphate (LFP) battery production. The OCP Group inaugurated its first lithium-ion battery materials manufacturing plant at Jorf Lasfar in June 2025. Chinese firms BTR New Material Group, Gotion High Tech, Huayou Cobalt, and CNGR have collectively pledged over $700 million in battery materials plants in Morocco. BTR is developing a cathode materials facility near Tangier with an initial capacity of 25,000 tonnes, expected to be operational by September 2026. Gotion is building a gigafactory in Kenitra with initial capacity of 20 GWh, targeting third quarter 2026, with potential to scale to 100 GWh. The growing Chinese presence in Morocco’s critical minerals sector is a point of geopolitical attention for Western partners, given FEOC (Foreign Entity of Concern) supply chain regulations in the United States and the EU’s Critical Raw Materials Act, both of which seek to diversify away from Chinese-dominated supply chains.
Foreign Direct Investment
Morocco has taken a systematic approach to improving its investment climate and attracting foreign direct investment. Before the pandemic, annual FDI inflows averaged $2–3 billion, placing Morocco among Africa’s leading recipients. FDI inflows have recovered strongly, supported by the 2022Investment Charter, which introduced new incentive frameworks and strengthened protections for investors. Key source countries are France, particularly in banking, retail, and telecommunications; the UAE in real estate, ports, and logistics; Spain in banking and energy; and the United States in manufacturing and services. Net FDI flows rose in 2024, with international reserves reaching $37.2 billion (120% of the IMF’s adjusted ARA metric). The government has introduced regulatory reforms to simplify business registration, reduce bureaucracy, and strengthen investor protections. Morocco’s 2030 Digital Strategy provides a framework for attracting investment in technology sectors, targeting digital transformation across government and the private economy as a driver of competitiveness and job creation.
Free zones and industrial parks play a key role in attracting investment. TheTanger Med port complex features industrial zones specializing in automotive, logistics, and textiles, offering streamlined customs, tax incentives, and modern infrastructure. Automotive zones near Tangier and Kenitra host Renault and Stellantis/Peugeot factories that produce hundreds of thousands of vehicles each year. Aerospace zones in Casablanca and Nouaceur support suppliers for Boeing and Airbus. These zones provide one-stop services, reliable utilities, and close access to ports, supporting export-oriented manufacturing.
Morocco is recognized as a leading African country for ease of doing business, as reported by World Bank assessments, although certain challenges persist. Major sectors attracting foreign direct investment (FDI) include automotive manufacturing (notably Renault, Stellantis, and various component suppliers), aerospace (such as Bombardier, Safran, and Eaton), pharmaceuticals, renewable energy (including solar and wind projects), real estate, tourism, financial services, and business process outsourcing. Investment promotion agencies actively seek to attract foreign companies by providing sector-specific incentives and support.. The government is undertaking initiatives to streamline administrative procedures, improve transparency, and reinforce the rule of law to sustain FDI growth.
Artificial Intelligence and Technology Landscape
Morocco has established itself as one of Africa’s more advanced digital economies and is pursuing an ambitious national artificial intelligence strategy. In January 2026, Morocco unveiled plans for Maroc IA 2030, a national AI roadmap that builds on the broader Digital Morocco 2030 strategy launched in 2024. The roadmap aims to modernize public administration, support private sector innovation, develop domestic AI capacity, and reduce dependence on external digital solutions. Together, the two strategies are projected to generate approximately 240,000 digital jobs and contribute roughly $10 billion to Morocco’s GDP by 2030, while improving Morocco’s international AI readiness ranking.
A key institutional element of the roadmap is the planned creation of the Al Jazari Institutes, a national network of AI centers of excellence linking academic research with regional innovation needs. A General Directorate for AI and Emerging Technologies is also planned to coordinate public policy and oversee implementation.
Beyond national borders, Morocco aims to develop an Arab-African regional digital hub in partnership with the United Nations Development Programme, reflecting its ambition to position itself as a continental leader in AI and digital development. Morocco also co-initiated with the United States the first UN General Assembly Resolution on Artificial Intelligence, adopted by consensus in March 2024, and launched the first Group of Friends on AI at the UN, reinforcing its role in shaping global AI governance.
Morocco’s technology infrastructure supports these ambitions. The country has good internet penetration and a growing mobile ecosystem. The ICT sector is anchored by Maroc Telecom, which operates internationally across West and Central Africa. Casablanca serves as a regional hub for business process outsourcing and fintech. Morocco has invested in submarine cable connectivity linking it to Europe and West Africa. The country’s proximity to Europe, bilingual (Arabic-French) workforce, and competitive cost base have attracted nearshoring in IT services and call centers.
Financial and Banking Sector
Morocco has a well-developed banking sector by regional standards. Bank Al-Maghrib (BAM), the central bank, is an independent and well-regarded institution that has maintained macroeconomic stability through successive shocks. The sector is dominated by a small number of large commercial banks – most prominently AttijariwafaBank, Banque Centrale Populaire (BCP), and BMCEBank of Africa – which have expanded significantly across sub-Saharan Africa. Foreign banks, including French institutions such as BMCE, Société Générale, and Crédit Agricole, also operate in Morocco. Casablanca Finance City (CFC) serves as Morocco’s flagship financial hub and has attracted regional headquarters of major international firms, positioned as the leading financial platform for companies accessing African and MENA markets. The insurance, capital markets, and microfinance segments are developing, though financial inclusion gaps remain, particularly in rural areas. Morocco’s banking sector is increasingly integrated into international capital markets, having issued green bonds and accessed multilateral financing for infrastructure and climate investments.
Morocco is now positioning itself as a major global green hydrogen producer. As of March 2025, it had approved $32.5 billion in projects to produce ammonia, steel, and industrial fuel. The country aims to capture 4% of global hydrogen demand by 2030, targeting exports to Europe. A dedicated “Morocco Offer” provides 1 million hectares of land to investors, backed by a national green hydrogen roadmap that integrates domestic use with export ambitions.
The Western Sahara Dispute
Morocco’s assertion of sovereignty over Western Sahara forms the cornerstone of its foreign policy. Morocco has achieved notable diplomatic successes. Morocco rejoined the African Union in 2017 explicitly to contest the AU’s recognition of the self-proclaimed Sahrawi Arab Democratic Republic (SADR), which is not recognized by the United Nations, from within the organization. Currently, only 15 of 54AU members continue to recognize the self-proclaimed SADR, while 22 African states have opened consulates in Morocco’s Southern Provinces. At the same time, the Moroccan monarch conducted extensive tours across Africa, signing bilateral agreements that enhanced Morocco’s influence and persuaded several states to withdraw recognition of the self-proclaimed SADR.
A significant development occurred in December 2020, when the United States recognized Moroccan sovereignty over Western Sahara as part of an agreement in which Morocco normalized relations with Israel under the Abraham Accords. This U.S. recognition represented a substantial shift from previous international consensus. Not long after, the European Union, in a unified statement by all 27 member states, declared that “genuine autonomy could represent the most achievable solution.” On the African continent, 31 states publicly endorse Morocco’s autonomy plan, and as mentioned above, nearly two dozen have also opened consulates in the territory. Several states have opened consulates in Laayoune and Dakhla, indicating tacit support for Morocco’s position.
UN Security Council Resolution 2797 (October 2025) established a new negotiating framework centered on Morocco’s plan, with Algeria participating as a full party. Rounds have since been held in Madrid and Washington under U.S. leadership and UN facilitation. U.S. executive and congressional actors have also raised concerns about Polisario links to regional terrorist networks, and draft legislation has been introduced calling for the group’s designation as a foreign terrorist organization. Relations with Europe.
Europe represents Morocco’s most significant foreign partner. The European Union (EU) accounts for approximately 68% of Moroccan exports and is the country’s largest investor and donor. Since 2008, Morocco has held EU Neighborhood Policy “advanced status,” supported by comprehensive agreements in trade, energy, aviation, fisheries, and migration. The Association Agreement (2000) established free trade in industrial goods and granted agricultural preferences. Key bilateral partners include France, due to historical ties and its status as the largest investor; Spain, based on geographic proximity and migration cooperation; and Germany, which focuses on renewable energy.
Morocco occupies a pivotal position in European migration management, acting as a buffer against irregular migration from Sub-Saharan Africa. Morocco continues to be the main recipient of EU funding in North Africa. In 2025, the EU mobilized 2.48 billion dirhams (approximately €233 million) in budget support for major national reforms spanning human development, the green transition, territorial cohesion, and economic growth.
Several major milestones have deepened the EU-Morocco partnership in recent years. In 2022, the EU and Morocco launched their first Green Partnership on energy, climate, and the environment, establishing a joint framework for cooperation on renewable energy, green hydrogen, and climate adaptation. In 2023, the EU launched new cooperation programmes with Morocco worth €624 million focusing on the green transition, migration management, and institutional reforms. In November 2025, the EU and southern Mediterranean partners jointly launched the new Pact for the Mediterranean, building on the strategic goal of creating an area of shared peace and prosperity in the Mediterranean region. The 2025 cooperation package also coincided with the 25th anniversary of the EU-Morocco Association Agreement. These developments reflect Morocco’s growing importance to the EU as a strategic partner on energy security, climate, and migration — and Morocco’s continued ability to leverage its geographic and strategic position for diplomatic and economic benefit.
Africa Engagement
Morocco’s return to the African Union represented a significant strategic shift toward engagement with Africa. King Mohammed VI has undertaken multiple official visits to Sub-Saharan African countries, visiting more than 30 nations and facilitating the signing of numerous bilateral agreements in areas such as trade, investment, infrastructure, agriculture, and religious training. Morocco has also joined the African Continental Free Trade Area (AfCFTA) and applied for membership in the Economic Community of West African States (ECOWAS) in 2017, although this application remains under consideration.
Moroccan companies have expanded their operations substantially throughout Africa. Financial institutions such as AttijariwafaBank and BMCE Bank maintain a presence in several West and Central African countries. Maroc Telecom operates subsidiaries in Mauritania, BurkinaFaso, Gabon, Mali, and additional locations. The state-owned phosphate company OCP has established partnerships and joint ventures across the continent, supplying fertilizers and technical expertise to enhance agricultural productivity.
The Nigeria-Morocco Atlantic Gas Pipeline, one of the most strategically consequential infrastructure projects under development in Africa, encapsulates Morocco’s continental role. The pipeline aims to connect West African gas resources to European markets via Morocco, enhancing
Middle East and Gulf Relations
Morocco maintains robust ties with Gulf states. The UAE has become a major investor in Moroccan real estate, ports, tourism, and renewable energy. DP World operates Jorf Lasfar container terminal, for example. Saudi Arabia provides financial support and investment, particularly in infrastructure and phosphates. Qatar has invested in hotels, agriculture, and banking. These Gulf partnerships bring capital, technology, and political backing for Morocco’s regional positions. Morocco also contributes to Gulf security by participating in the Saudi-led coalition in Yemen (2015–2019) before withdrawing.
Relations with Algeria
Relations between Morocco and Algeria remain strained, shaped primarily by the dispute over Western Sahara. Diplomatic tensions intensified sharply in August 2021 when Algeria severed diplomatic ties, closed its airspace to Moroccan aircraft, and declined to renew the Maghreb-Europe Gas Pipeline contract with Morocco.
Recent developments have introduced cautious optimism regarding potential reconciliation. On October 31, 2025, the UN Security Council passed Resolution 2797, centering Morocco’s autonomy plan as the primary basis for resolving the Western Sahara conflict — the most significant multilateral diplomatic victory for Rabat to date. In response, King Mohammed VI extended an open invitation to Algerian President Tebboune for “sincere, brotherly dialogue.”
In July 2025, U.S. Senior Advisor Massad Boulos visited Algiers and was well received, signaling Algeria’s interest in engaging the Trump administration amid concerns about potential CAATSA sanctions for Algerian purchases of Russian weapons. Algeria has faced growing isolation in the Sahel as its relationships with Mali and the Alliance of Sahelian States have deteriorated, while Morocco’s ties with the same states have remained stronger.
U.S. and China Relations
Morocco was the first country to recognize the United States, doing so in 1777; the 1786–1787 Treaty of Peace and Friendship formalized a relationship already established a decade earlier. Morocco holds the status of Major Non-NATO Ally, receiving approximately $30 million annually in U.S. military aid, as well as training support and equipment sales. The two countries regularly conduct joint military exercises, with African Lion being among the largest in Africa. The US-Morocco Free Trade Agreement, implemented in 2006, has facilitated bilateral trade, although economic ties remain modest compared to those with Europe. The Trump administration’s 2020 recognition of Moroccan sovereignty over Western Sahara marked a significant diplomatic achievement for Rabat. The Biden administration continued this recognition, while placing greater emphasis on human rights and United Nations mediation efforts. Morocco also engages in close counterterrorism cooperation and intelligence sharing, and hosts U.S. security operations in the Sahel region.
China’s economic engagement with Morocco has expanded under the Belt and Road Initiative (BRI). Morocco signed a BRI memorandum in 2017, and China has since financed infrastructure projects, such as the Mohammed VI Tangier Tech City industrial zone, and contributed to the development of the Nador West Med port. Chinese companies also participate in renewable energy and construction projects. Despite these developments, China accounts for a relatively small portion of Morocco’s trade and investment compared to Europe. Morocco primarily imports machinery, electronics, and textiles from China, while exporting little in return, resulting in a significant trade deficit. The relationship remains pragmatic and focused on economic interests rather than strategic alignment. Morocco continues to balance Chinese engagement with its strong Western partnerships, thereby avoiding overreliance on any single partner.
Gender Issues
In 2004, Morocco reformed its Moudawana (family code) under the initiative of King Mohammed VI. This reform represented a significant advancement in women’s rights regarding marriage, divorce, child custody, and inheritance. The changes included raising the legal marriage age to 18, requiring mutual consent for marriage, granting women equal rights in divorce proceedings, and establishing family courts. These measures were considered progressive within the region and received international recognition. Further family code revisions in 2022 and nearly 18 constitutional provisions now enshrine women’s rights, the primacy of ratified international conventions over domestic law, and the prohibition of all forms of discrimination.
Security and Counterterrorism
Morocco has largely avoided major terrorist attacks since the Casablanca bombings in 2003 (and subsequent smaller incidents in 2007 and 2011). This success reflects effective intelligence and security services, extensive cooperation with Western partners (particularly France, Spain, and the U.S.), and proactive measures to counter radicalization. Authorities have dismantled numerous cells linked to ISIS, al-Qaeda, and affiliated groups. Morocco shares intelligence on transnational jihadist networks and monitors suspected extremists.
The government promotes moderate Islam as a counterweight to extremism. The Ministry of Islamic Affairs regulates mosques, trains imams emphasizing tolerance and non-violence, and restructures religious education. Morocco’s model of religious authority, where the King as Commander of the Faithful oversees religious institutions, is presented as stabilizing. Morocco has exported this model, training imams from Francophone Africa and Europe at Moroccan institutes. The Mohammed VI Institute for the Training of Imams in Rabat has trained thousands of religious leaders.
Conclusion
Morocco has achieved notable stability and progress over the past two decades. The constitutional monarchy system has delivered incremental reforms while maintaining order. Economic liberalization, trade agreements, and industrial policy have diversified the economy and attracted investment. The push toward renewable energy positions Morocco as a regional climate leader. Social indicators have improved, with expanding health coverage and rising literacy.
Morocco maintains a pluralist media environment, active civil society, and regular competitive elections. The country’s reform trajectory over the past two decades has broadened public space, though legal limits on speech concerning the monarchy and territorial integrity remain in place.
Geopolitically, the Western Sahara dispute continues to shape Morocco’s foreign policy and relations with Algeria. U.S. recognition of Moroccan sovereignty represent major diplomatic achievements.
Morocco’s strategic location, political stability, and reform momentum position it as a key player in North Africa and a bridge between continents. How it navigates the complex challenges ahead will determine whether it can translate progress into broad-based prosperity and enhanced resilience.
Human history is filled with wars fought by armies, empires and nations, yet some of its most memorable moments revolve around the actions of a single individual confronting another in direct combat. Long before modern states developed organized military systems, societies often believed that the fate of entire communities could rest upon the courage, skill and honour of two men meeting face to face on the battlefield. This tradition of single combat occupies a powerful place in literature, religion and political culture, revealing how ancient civilizations understood justice, heroism and power.
The idea of one-on-one combat for enormous stakes dates back thousands of years. In ancient societies, warfare was not merely about territory or resources; it also carried symbolic and moral significance. Battles were frequently viewed as contests between competing visions of honour, destiny and divine favour. Single combat emerged as a dramatic way to settle disputes while limiting broader bloodshed. Even when it failed to prevent war, it offered a spectacle through which societies expressed their deepest values.
Perhaps the most famous example appears in The Iliad, the ancient Greek epic attributed to Homer. The duel between Achilles and Hector remains one of the defining scenes in world literature. The Trojan War had already consumed countless lives, yet the confrontation between these two warriors came to symbolize the conflict itself. Achilles represented the unmatched martial strength of the Greeks, while Hector stood as the noble defender of Troy. Their duel carried emotional and political consequences far beyond the fate of two individuals. When Hector fell, the psychological balance of the war shifted decisively.
The enduring power of this episode lies not simply in violence, but in what the combatants represented. Ancient audiences saw courage, revenge, loyalty and mortality reflected in the clash between Achilles and Hector. The duel transformed a vast military struggle into a deeply personal encounter. It allowed people to understand the chaos of war through the actions of recognizable human figures.
A similar theme appears in the Biblical story of David and Goliath. The Philistines and Israelites stand prepared for battle, yet the conflict narrows into a contest between a heavily armed giant and a young shepherd armed with little more than a sling and faith. David’s victory is significant not only because it defeats a formidable enemy, but because it overturns assumptions about power itself. Strength and size are overcome by conviction, intelligence and divine support.
Over centuries, the story of David and Goliath has become a universal metaphor for struggles between the weak and the powerful. Political movements, sporting contests and military conflicts continue to invoke its imagery. The narrative survives because it speaks to a deeply rooted human hope: that courage and belief can triumph against overwhelming odds.
In many ancient cultures, single combat was closely tied to ideas of honour. Warriors were expected to prove themselves publicly, often before armies and rulers. Reputation mattered enormously in societies where personal bravery shaped social standing and political authority. A victorious duel could elevate a warrior’s status, while defeat could bring disgrace upon entire communities.
This culture of martial honour extended well beyond Greece and the Near East. Historical traditions from Persia, India, China and the Arab world contain accounts of champions confronting one another before larger battles. These encounters often carried ceremonial importance. Combatants announced their lineage, praised their rulers and challenged their opponents in language that mixed poetry with warfare. The duel became both a military act and a public performance.
By the medieval period in Europe, single combat had taken on a different character. While warfare remained common, duelling also entered the legal sphere through the practice known as “trial by combat.” This system reflected the widespread belief that God would grant victory to the righteous party. When evidence was unclear or disputes could not easily be resolved, courts sometimes permitted individuals to settle matters through armed combat.
The logic behind trial by combat may appear strange today, yet it reflected the worldview of medieval society. Religion shaped legal and political institutions, and divine judgment was considered a practical reality. Victory in combat was interpreted as proof of innocence or legitimacy. Nobles defended land claims through duels, while accusations of wrongdoing could sometimes be answered with swords rather than witnesses.
Trial by combat also demonstrated the unequal nature of medieval society. Wealthier individuals could often hire skilled champions to fight on their behalf, while ordinary people possessed fewer options. Nevertheless, the practice persisted for centuries because it satisfied social expectations regarding honour, courage and divine justice.
Over time, however, legal systems gradually moved away from combat-based judgments. The growth of centralized states, professional courts and written laws reduced reliance on physical confrontation. By the late medieval and early modern periods, many European societies increasingly viewed trial by combat as irrational or barbaric. Yet the fascination with duelling did not disappear.
Instead, it evolved into the aristocratic code duello that flourished in Europe and parts of the Americas between the seventeenth and nineteenth centuries. Duels were no longer meant to determine legal truth through divine intervention. They became rituals of personal honour among elites. Politicians, military officers and gentlemen fought over insults, reputations and perceived slights. Pistols replaced swords, but the underlying concern remained the same: public honour.
The decline of duelling in the modern era reflected broader social transformations. States strengthened their monopoly over violence, while legal institutions replaced private revenge and personal combat. Industrial warfare also changed public perceptions of heroism. Modern wars were increasingly fought by massive armies using advanced technology, leaving little room for romanticized notions of individual combat deciding the fate of nations.
Yet despite these changes, the idea of single combat continues to hold cultural power. Films, novels and political rhetoric frequently portray conflicts through the actions of rival individuals. Sporting events often draw upon the language of duels and heroic confrontation. Even contemporary politics sometimes reduces complex international rivalries into personal contests between leaders.
The persistence of this tradition reveals something fundamental about human storytelling. Large conflicts are difficult to grasp in purely abstract terms. People understand events more easily when they are embodied in individual figures whose actions symbolize broader struggles. Single combat offers drama, clarity and emotional intensity in ways that mass warfare often cannot.
At the same time, the romantic image of the duel can obscure the brutal realities surrounding it. Ancient epics celebrate heroism, but the wars behind those stories brought devastation to entire societies. Medieval trial by combat claimed divine legitimacy, yet it often favoured the powerful. Duelling codes praised honour while leaving countless lives shattered by violence.
The history of single combat therefore reflects both humanity’s fascination with courage and its long struggle to define justice and power. From Achilles and Hector to David and Goliath, from medieval courts to aristocratic duels, the ritualized clash between individuals has remained deeply embedded in civilization’s imagination. Though the world has changed dramatically, the symbolic appeal of one person confronting another for immense stakes continues to resonate across cultures and centuries.
ISLAMABAD, MAY 18: The Oil and Gas Regulatory Authority (OGRA) conducted public hearing on the SSGCL’s petition for Determination of its Estimated Revenue Requirement / prescribed price for FY 2026-27. The petitioner in its revised petition dated 28-04-2026 has projected aggregate Average Prescribed Price at Rs. 6,825.30 per MMBTU including interest on GDS receivable (Rs. 1,721.47/MMBTU) & previous year shortfall up to FY 2024-25 (Rs. 2,920.46/MMBTU) for indigenous natural gas business. The petitioner has also projected Rs. 199.03/MMBTU w.r.t RLNG cost of supply for FY 2026-27.
The public hearing was attended by all stakeholders including general public to pass their views/comments for final decision by the Authority. The final decision shall be issued by the Authority in due course of time.
Cabinet Division issues notification allowing unrestricted business hours across Pakistan
Faisal Sheikh
ISLAMABAD: Prime Minister Shehbaz Sharif on Monday approved the exemption of business closure timings across the country until May 31, effectively allowing commercial centres to operate without the previously imposed restrictions.
According to a notification issued by the Cabinet Division, all shops, departmental stores, bazaars, markets and shopping malls will remain open on all days of the week without restriction on closing hours.
The exemption also applies to bakeries, tandoors, restaurants and grocery stores, which have been allowed to continue operations beyond the earlier fixed timings.
The decision comes after provincial governments had already relaxed business-hour restrictions. The Punjab government had earlier extended relaxed operating hours for markets and commercial centres until June 1, while suspending the mandatory 8pm closure rule.
Similarly, the Sindh government had on May 16 announced relief for traders and citizens, exempting markets, shopping malls, restaurants, hotels and marriage halls from fixed closing times in a bid to support economic activity.
Meanwhile, the Khyber Pakhtunkhwa and Balochistan governments also followed suit, announcing the end of smart lockdown measures across the province and lifting restrictions on market timings and business hours.
Business hours were curtailed across the country last month as part of energy conservation measures introduced amid a sharp increase in domestic fuel prices, triggered by the conflict in the Middle East.
The measures, which formed part of the federal government’s broader austerity and fuel-conservation plan, were aimed at reducing energy consumption following the surge in fuel prices.
ISLAMABAD, MAY 18: /DNA/ – Director General Water, Capital Development Authority (CDA), Sardar Khan Zimri, has said that CDA is implementing comprehensive short-term and long-term strategies to address Islamabad’s growing water challenges and ensure sustainable water supply. He said several mega projects have been initiated to bridge the widening gap between water demand and supply.
He expressed these views during his visit to the Islamabad Chamber of Commerce and Industry where he held an interactive session with members of the business community representing various sectors of trade and industry.
Sardar Khan Zimri informed the participants that Islamabad currently requires around 120 million gallons of water daily against the available supply of nearly 80 million gallons. To overcome the shortfall, CDA has launched multiple major projects including Shahdra Dam, Dhotara Dam upstream of Khanpur Dam and a mega initiative to bring 100 million gallons of water from Tarbela to Islamabad. He termed the Tarbela project a long-term solution for the future needs of the city and said that Prime Minister Shehbaz Sharif has constituted a task force under the Chairmanship of Interior Minister to oversee the mega projects as well as the water and sewerage issues.
He stated that Shahdra Dam is expected to be completed within one and a half to two years while significant progress on other projects would also be visible in the next three to four years.
The DG Water said CDA is simultaneously focusing on improving operational efficiency by reducing water losses caused by leakages and outdated infrastructure. He noted that around 25 to 30 percent of water is currently wasted due to leakages and the authority aims to reduce these losses to 15 to 20 percent through rehabilitation of damaged pipelines and modernization of the network system.
He further said CDA is upgrading small waterworks like Shahdara, Ssid Pur and Barri Imam and taking practical measures for groundwater conservation through rainwater harvesting initiatives. He added that the authority plans to expand rainwater harvesting to the household level and awareness material would be distributed among citizens to promote water conservation practices. He added that as the short term measure we are going to outsource all the tube-wells to enhance their efficiency
Sardar Khan Zimri said CDA is also enhancing tanker services in water-deficient sectors including efforts to improve operational capacity despite budgetary and staffing challenges.
He informed the participants that CDA has signed agreements with the World Bank for long-term reforms in Islamabad’s water management aimed at improving efficiency, maintenance and sustainable utilization of resources. He also highlighted cooperation with international partners, including a French development agency, for the rehabilitation of the Simly Water Treatment Plant, which is expected to be completed within two years.
The DG Water also acknowledged the support of the Japan International Cooperation Agency (JICA) for preparing a comprehensive master plan for Islamabad’s future water infrastructure and supply requirements for the next 50 years.
Responding to concerns regarding contamination caused by mixing of sewage and drinking water, Sardar Khan Zimri said CDA immediately responds to complaints by disconnecting affected lines and providing free tanker services to residents until issues are resolved. He attributed such problems to the aging infrastructure where sewage and water supply lines run parallel to each other.
Earlier, President Islamabad Chamber of Commerce and Industry Sardar Tahir Mehmood, in his welcome address, appreciated the dedication and accessibility of Sardar Khan Zimri in addressing the concerns of residents and the business community. He highlighted key water-related issues faced by the city and emphasized the need for timely completion of all ongoing water projects to meet the growing needs of Islamabad.
Senior Vice President Tahir Ayub, Vice President Irfan Chaudhry, former ICCI Presidents Mohammad Ejaz Abbasi, Zahid Maqbool Basir Daud and President Council for Water Preservation and former Senior Vice President Mehmood Warrich also shared their views and suggestions on improving water management and civic services in the capital.
Executive Members Waseem Chaudhry, Ishaq Sial, Sanaullah Durrani, Zulqurnain Abbasi, Rohail Anwar Butt, former Senior Vice President Khalid Chaudhry, Tahir Abbasi, former Executive Member Zakria Zia, Abbas Hashmi and a large number of representatives of industry and market associations attended the session and took part in question and answer.