Morocco expands into the Asian market with South Korea

The process of internationalisation of the Moroccan economy continues to expand. After travelling to Seoul, capital of South Korea, Nasser Bourita, Moroccan Minister of Foreign Affairs, African Cooperation and Residents, and Inkyew Chung, Minister of Trade of the Republic of Korea, signed a joint declaration on the launch of preliminary negotiations to establish a legal framework for trade and investment between Morocco and the Republic of Korea in the context of the Enhanced Partnership Agreement. 

This meeting is part of the positive bilateral momentum of recent years, building on more than 60 years of diplomatic relations. The two ministers agreed to continue high-level economic cooperation, initiating and concluding preliminary discussions as soon as possible to start negotiations. 

This announcement will pave the way for discussions on investment promotion and enhancing economic exchanges. The milestone marks the Alawi nation's intentions to send a clear message to economic entities in both countries: the Moroccan government is the best partner for development. 

The Economic Partnership Agreement, aimed at consolidating the existing framework of cooperation between the two countries, will play an important role in promoting trade and investment, while consolidating the economic development recovery of both countries. 

Referred to as ‘countries with moderate fiscal pressure’ by the Organisation for Economic Co-operation and Development (OECD), South Korea and Morocco are among the countries with the best investment conditions. But if there is one area in which relations stand out, it is in educational and cultural cooperation. As members of the United Nations, the World Trade Organisation and the African, Caribbean and Pacific Group of States (ACP), they cooperate on sustainable development and human rights. 

Improving bilateral consultation mechanisms was a central pillar of the meeting. They also agreed to increase visits by both sides to give new impetus to the existing cooperative relationship between Rabat and Seoul. 

The meeting is an opportunity for the two ministers to discuss ways and means of enhancing investment, economic and trade exchanges, taking into account the benefits of the Moroccan economy as a ‘gateway to Africa’, as well as the potential of the trade agreements signed.  

The signing of the agreements foresees closer cooperation between South Korea and Morocco in areas such as education, energy and security. Morocco is working to develop its energy sector and increase renewable energy production, and South Korea, with its expertise in renewable energy technology, can play an important role in these efforts. In addition, Korean foreign direct investment in Morocco is expected to increase, especially in sectors such as renewable energy, infrastructure and manufacturing. 

E-commerce between the two countries is also expected to grow, especially in the fields of electronics and high-tech products. In addition, growing cooperation between South Korea and Morocco in the United Nations and other international organisations is expected, reflecting the growing collaboration between the two countries in areas such as peace and security, international cooperation and sustainable development. 

The two ministers also reviewed the legal framework governing cooperation between the two countries and decided to strengthen it in view of the new dynamics desired by both sides. In this context, three agreements were signed. 

The first, on social security, aims to initiate close cooperation between Morocco and South Korea through the application of their similar legislation in this field, with the objective of addressing the specific difficulties faced by the citizens of both countries and helping them to benefit from comprehensive protection, based on a transnational perspective with regard to equal treatment, reciprocity and preservation of rights acquired or in the process of being acquired, as well as on the transfer of rights. 

The second agreement is a framework for cooperation on climate change. It aims to enhance the capacity of both countries to reduce or eliminate greenhouse gas emissions, combat the effects of climate change and facilitate the transition to a low-carbon economy for both parties. 

The third agreement involves loans from the Korea Development and Economic Cooperation Fund. It aims to promote cooperation between Morocco and South Korea by providing loans for the implementation of mutually agreed projects.