Incentive measures of the common law

Under the common law, the government provides many advantages to investors in the tourism sector. These advantages include:

  • Total exemption from VAT on capital goods acquired in Morocco or abroad for a period of 36 months;
  • Zero corporate tax rate during the first 5 years of operation;
  • Corporate tax rate reduced to 17.5 percent on the turnover invoiced in foreign currency beyond the first 5 years of operation;
  • A VAT rate reduced to 10% on hotels’ accommodation sales.


Incentive measures related to conventional law

In addition to the above mentioned advantages, the government grants, under signed agreements with the investors, additional incentives for projects whose total amount of investment exceeds MAD 100 million and which contribute to a direct job creation of more than 250 stable positions. These advantages granted under the conventional scheme are funded by the Industrial Development Fund and Investment (FDII) and include the following matters:

  • The government’s contribution to expenditures related to the value of land that is necessary to fulfill the investment program within the limit of 20% of this land’s cost;
  • The government’s contribution to off-site infrastructure expenses necessary for implementing the investment program in the limit of 5% of the total amount of the investment program;
  • The government’s contribution to the expenses of professional training provided in the investment program within the limit of 20% of this training cost.


It should be noted that these benefits are granted after the investor commits to implement the concerned expenditure (actual implementation of infrastructure off-site, acquisition of the land or completion of the training program). These benefits are granted through a signed agreement between the government and the investor.


Finally, investors can also benefit from additional advantages for growth-generating tourism projects in the country located in the resorts of the Azur Plan. These additional measures are funded by the Hassan II Fund for Economic and Social Development (FHII) and include the following matters:

  • Implementing off-site infrastructure and contributing to the purchase of up to 50% of the project land price with a maximum of 250 DH/sqm in the resorts of Saidia, Lixus, Mazagan, Mogador, Taghazout and the hotel plots of Medieq and Fnideq;
  • Granting to convert the Ksours and Kasbahs at Ouarzazate and Zagora into tourism accommodation units at 10% of the amount of investment capped at MAD 10 billion;
  • Total exemption from the duty on the imported goods.