FOM Newsletter May 2003
Morocco Week in Review 
May 31 2003

H.M. King Mohammed VI Announces "End of Leniency" for Those who Undermine State Authority
In wake of terrorist attacks, Morocco ponders revising education strategy
More than one million and half people march against terrorism in Casablanca
Moroccan hunger striker journalist rushed to hospital. 
Baz Luhrmann's Alexander pulls up stakes in Morocco following bombings
Moroccan Banks Set To Combat Terrorism
Fram to stay in Morocco
Morocco bomb suspects charged in Casablanca
Marrakesh Hosts Global Women Summit next Month
King Pledges Support
Casablanca attacks metant to undermine Morocco's democratization process, official says
Interaction between scientific research, economic development key to prosperity, EU official says
Moroccan-Iranian Businessmen Probe Partnership Opportunities 
Vendor convicted for insulting Moroccan king
Morocco to revamp PhD scholarship system, premier
Morocco Launches Nationwide Anti-Illiteracy Campaign
No SARS Cases in Morocco, Health Minister
Alleged Casablanca mastermind dies
Attacks may halve Moroccan 2003 growth-govt source.
Morocco's premier holds talks with US Assistant Secretary of Commerce
Princess Lalla Hasna dedicates art exhibition in London
1,000 teachers of Berber to be appointed for next fall, minister
ADB grants Morocco's $ 500,000 to alleviate floods crisis
Reforms Come Too Little, Too Late to Defend Morocco against Terror
Morocco says to revise 2003 GDP growth after blasts
French do-it-yourself tools chain opens branch in Morocco 

H.M. King Mohammed VI Announces "End of Leniency" for Those who Undermine State Authority

RABAT, May 29 - H.M. King Mohammed VI said this Thursday, in a speech to the nation, the era of leniency in dealing with those who use democracy to undermine the state authority has ended. "The moment of truth has come, heralding the end of the era of leniency in dealing with people who take advantage of democracy to undermine the authority of the state, those who spread ideas which create fertile ground to sow the seeds of ostracism, fanaticism and discord", says the sovereign in an address broadcast on the Moroccan TV and radio channels.  The sovereign added that the era of leniency has also ended for "those who are bent on preventing the public and judicial authorities from displaying the firmness required by the law in their effort to protect the integrity and security of people and property."

After stressing that "the State has shouldered its responsibilities and striven to ward off such risks through the force of law and also through the draft legislation which was submitted to Parliament months ago", H.M. the king pointed out that "some circles resorted to systematic filibustering, thwarting government plans and policies and misusing the freedom of opinion."  In the same vein, the sovereign insisted that "exercising one's rights and freedoms entails necessarily that the duties and obligations inherently attached to citizenship be fulfilled", adding that "building and consolidating democracy is a process which can only succeed in a strong State which derives its power from the rule of law."  Moroccans, "will find me, as their first servant, in the front line, repelling anyone who attempts to pull the country backward", H.M. the king went on.  The sovereign further spelled out "an integrated and multi-dimensional strategy" that encompasses at the same time "political, institutional and security-related aspects".  "This strategy seeks to introduce more rigour and efficiency, in a democratic environment, under the rule of law. In the economic and social fields, its aim is to stimulate free enterprise initiatives, release energies and channel them towards the objectives of development and solidarity. As for the religious, educational, cultural and media aspects, the strategy seeks to provide the citizen with education and training and inculcate in him the virtues of openness, modernity, rational thinking, conscientiousness, righteousness, moderation and tolerance", the sovereign explained. © MAP 2003

In wake of terrorist attacks, Morocco ponders revising education strategy

Moroccan national education and youth minister, Habib El Malki, has held a series of meetings with the ministry's representatives in Moroccan regions and with directors of academies. The official said the terrorist attacks that shook Casablanca on May 16 are making it necessary for Morocco to reconsider its management of schools, adopting more pedagogical rigor and a different approach in order to make of schools a space open to hope and shield the society against all kinds of drifts. The minister called the education officials to be more vigilant in managing pedagogical issues in order to avoid that schools be exploited for ends that contradict its lofty educational mission. He noted that a modern education system should be instilling the values of positive co-existence and gender equality. He further praised the initiative taken by Moroccan schools to observe on May 22 a sit in to promote the youth awareness of the dangers of terrorism and said this drive was an opportunity to denounce the dastard acts and renew adherence to the values that should form the foundations of the Moroccan society. The minister also announced he will chair this Wednesday a ceremony in the memory of Taieb Khammal, a student who was among the 43 victims of the terrorist attacks.

More than one million and half people march against terrorism in Casablanca

More than one million and Half people marched in Casablanca on Sunday in protest against the spate of terrorist attacks that hit the city on May 16th, according to organizers and police services.  The march started at 9:10 am (GMT) in front of Farah Hotel, one of the five targets of the terrorist attacks that claimed 43 lives and dozens of injured.  Marchers, who chanted the national anthem, were brandishing Moroccan flags,  pictures of terrorist attacks' victims, as well as streamers bearing slogans such as "No to Terrorism," "Do Not Touch My Country," "Terrorism Will Not Prevail," and "Death to the enemy: Our King has the people behind him." At the exception of the Islamists, all Moroccan parties took part to the march, along with NGOs and the civil society. Some individuals pretending to be Islamists tried however to impede the procession of the march, at its beginning, on the grounds that it was put off. The marchers' reaction obliged the police to intervene to re-establish order. The March was broadcast live on Morocco's two televisions TVM and 2M.

Hunger-striking Moroccan journalist Ali Lamrabet, in jail since May 21 for insulting King Mohammed VI, was rushed to hospital for medical treatment in a very weak state on Monday, international media rights group Reporters Without Borders (RSF) said. "He hasn't been able to drink since yesterday. He vomits everything. He finds it very difficult to speak. He can't move anymore," said RSF, quoting a doctor from the hospital.  Ali Lamrabet, on an unlimited hunger strike since May 6, represents RSF in Morocco. The editor-in-chief of satirical magazines Demain and Doumane was jailed for four years after publishing articles on issues including a parliamentary vote on the king's civil list, the royal palace's budget, and a cartoon on the history of slavery. (Albawaba.com)

E! Online reports that producer Dino de Laurentiis and director Baz Luhrmann have decided to move the production of Alexander from Morocco to Australia following the recent suicide bombings in Casablanca. The epic film, scheduled to star Leonardo DiCaprio and Nicole Kidman, will tell the story of legendary bisexual conqueror Alexander the Great. Alexander is set to begin production in January, since Luhrmann decided not to try to race Oliver Stone's version of the same story, starring Colin Farrell, to the screen.

Moroccan Banks Set To Combat Terrorism

Starting next June, the commercial and off-shore banks in Morocco will start applying special clauses related to the law against terrorism, which was enacted by Parliament and is waiting for the Shura council's approval next week. This law stipulates that any person who plans or carries out acts that are considered as terrorist - threatening people's safety, frightening them, kidnapping, hijacking planes, or forging money, state bonds, official stamps and computer programs - will be sentenced, and possibly to capital  punishment. In an interview with Al-Hayat, the Moroccan Minister of Justice, Mohammad Bou Zoubo, said: "the terrorist crimes are becoming a dangerous phenomenon threatening the lives of people everywhere in the world. It aims to terrorize everyone without exception. This could lead to disrupting the international sacred goal in the context of protecting world peace." He attributed the rising phenomenon of terrorism to the fast-pace development of transportation and media communications, maintaining that terrorists do not recognize any geographic or historic borders, and don't belong to any party or category. This, he said, requires spending considerable budgets on security systems, at the expense of investing thesefunds in developmental projects.

Capital punishmentThe law stipulates that terrorism is part of the dangerous crimes and that its criminals should be sentenced to capital punishment, even those who are responsible for collecting money or property values to use for a terrorist act, whether the act takes place or not. Some friendly countries to Morocco could be asked to investigate about a person or party transfers terrorist groups.It is also possible to intercept phone calls and electronic calls, as well as e-mails, to monitor the moves of terrorists. The court could confiscate their properties gained from terrorist funds or drugs money. The central bank is in charge controlling the commercial banks and how thoroughly they are abiding by the law. These banks should present the required information in a period of maximum 30 days The government could ask for the assistance of a foreign country in the context of financial crimes related to financing terrorism and confiscating properties inside or outside Morocco. The law against terrorism is considered as the severest in Morocco. Some parties thought that the inactive Al Qaeda cell, sentenced to 10 years of jail, had received foreign funding it used to boost its presence in various Moroccan cities and spend it observing the movements of commercial and military ships crossing Gibraltar. Moroccan sources have no doubt in the presence of an international finance web within the EU and certain Arab countries. This was also used to finance the terrorist attacks that took place in Casablanca last Friday and that killed 42 people, and injured 100 others.

May 27, 2003, (Le Monde /FT Information via COMTEX) -- The French tour operator Fram said at the weekend that it intends to continue investing in Morocco, despite the bombings in that country on May 16. Abstracted from Le Monde Copyright 2003: Financial Times Information. All rights reserved

RABAT, May 27 (Reuters) - Three Moroccan men have appeared before the public prosecutor on charges related to the suicide bombings in Casablanca, the official MAP news agency said on Tuesday. It said the men, aged between 22 and 28 years, faced charges including premeditated murder and formation of a criminal band when they appeared on Monday.  More than 20 other suspects, including some women, are expected to be brought before the public prosecutor in coming days, according to local press reports.  The five almost simultaneous bombings on May 16, which killed 43 people, are believed to have been carried out by a small ultra-conservative Islamist group, al-Assirat al-Moustaquim (The Righteous Path). One of the would-be bombers was caught fleeing the scene, and a second surviving bomber was arrested the following day, according to authorities.  ((Reporting by Eileen Byrne, editing by Jeremy Laurence; Reuters Messaging: eileen.byrne.reuters.com@reuters.net; +212-37 726518)

RABAT, May 27 - Marrakesh will play host next June 28-30 to the 13th global summit for women where some 700 political and business executive women, from 80 countries, are expected. The summit is a unique initiative in its ability to gather in the same conference room entrepreneurs, executives and women in government to discuss how to influence the direction of women in business.  Nicknamed "the Davos for women", the summit is held for the first time in an Arab country. Previous sessions were held in Montreal (1990), Dublin (1992), Taipei (1994), Miami (1997), London (1998), Buenos Aires (1999), Johannesburg (2000), Hong Kong (2001) and Barcelona (2002). It is sponsored by the Global Summit of Women, a non-profit organization headed by an international planning committee of women leaders. The organization says on its website the sessions deals with women's economic literacy and imparts practical strategies developed in different parts of the world. Workshops will look into strategic networking, the value of exporting, growing micro-enterprises into mainstream business through trade, strengthening women business associations and learning how to do business on-line. Organizers say as the first Arab country to host the summit, Morocco brought 35 women to parliament at its recent election and three women as ministers. © MAP 2003

The king of Morocco has told the country's Jews that the state will guarantee their safety following the recent wave of terror attacks. Accompanied by Jewish and Muslim leaders, King Mohammed VI last week toured the four Jewish sites hit in the multiple suicide bombing. Following the visit, the king pledged that the Moroccan government would protect the 7,000-strong community from further harm, with state-provided security at Jewish sites doubled in the wake of the attacks. He also vowed that authorities would ensure that all damage caused by the bombings would be repaired quickly. A Jewish adviser to King Mohammed, Andre Azoulay said of Morocco's Jewish community: "They tell me they feel more Moroccan than ever." He added: "We have a long history of openness - I don't like this feeble word tolerance - of welcome to all religions, and it is no accident that the huge Jewish diaspora still see Morocco as the mother country." Meanwhile, the Jewish Agency in Israel has begun preparations in case of an influx of Moroccan Jews prompted by the suicide bombings and threats of further attacks on Jewish targets in Muslim countries. However, the agency's immigration department said it believed that given the small size of the Moroccan community, the number of immigrants was unlikely to exceed a few hundred.

Casablanca attacks meant to undermine Morocco's democratization process, official says

The terrorist attacks that hit Casablanca on May 16th meant to undermine the democratization and development process under way in the Kingdom, said Morocco's minister in charge of relations with the Parliament, Saad Alami, in an interview published on Monday by UAE-based paper "Al Khalij." "Morocco will fight terrorism with more freedom, democracy, respect of human rights and the rule of law," stressed Alami, terming as "groundless anything suggesting that these terrorist attacks would challenge Morocco's firm commitment for democracy." He further said that the authors of the bombings are part of "terrorist networks that have organized, funded and executed criminal acts in Casablanca," adding the terrorists were identified following the investigation led by the security services. Touching on the measures by which to combat terrorism, the Moroccan official said "the government will take all measures geared to immunize the society against this scourge." He noted that "this approach is not exclusively related to security, but is rather based on a more comprehensive scheme that also takes into account economic, social, religious, cultural and educational aspects." Responding to a question on the separation of religious and political prerogatives, as claimed by some as part of a strategy to fight terrorism, Alami stressed that "this option is ruled out, stressing that "the Moroccan monarchy is a regime that confers on the King the status of Commander of the Faithful and Head of State."

Interaction between scientific research, economic development key to prosperity, EU official says

The interaction between scientific research and development is fundamental to economic prosperity, said here on Monday the European Union's Research Commissioner, Philipe Busquin, who is on a two-day visit to the Kingdom In a meeting with Morocco's Higher Education, executive Training and Scientific Research minister, Khalid Alouia, the European official noted that education-related policies in Europe "are national driven," unlike research policies where the focus is put more on enhancing Europe's competitiveness in the world. Alioua highlighted the need for "a more committed" Euro-Mediterranean partnership, given the fact that the Mediterranean region is a strategic component for Europe's development. He recalled in this respect Morocco's endeavours in research realms that made of the Kingdom the third best Scientific programs producer in Africa after South Africa and Egypt. Morocco has developed several research programs to accompany ongoing changes in the world and meet the development challenges, the Moroccan official added, expressing hope that to see Europe bringing its contribution to this endeavour. (MAP)FF/ 

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Moroccan-Iranian Businessmen Probe Partnership Opportunities 

CASABLANCA, May 26, (MAP)- Moroccan and Iranian businessmen decided here on Monday to set up a joint committee in charge of probing partnership opportunities. Exchanges between Morocco and Iran dropped significantly during the last years: From more than US $ 400 million in 2000 to US$ 340 million in 2001 and less than US$ 325 million in 2002.

Rabat, Morocco - A Moroccan street vendor has been sentenced to a year in prison for tearing up a calendar that contained a portrait of King Mohammed VI, according to a report published on Monday. An appeals court in the southern resort city of Agadir convicted 30-year-old Boujemaa Ouardi earlier this month for "outrage to the person of the king", the French-language weekly Le Journal reported. A lower court had sentenced Ouardi to five years in prison - the maximum penalty allowed by the Moroccan constitution for offences to the king, whose image is considered "inviolable and sacred".  In a fit of anger in early April, Ouardi ripped up a calendar published by a royal princess that two government workers had made him to buy for 20 dirhams (about R15). "This case is extremely dangerous because tomorrow, anybody could be accused of an offence to the king or the royal family," said Ouardi's lawyer, Abdelmoumain Taha, according to the weekly. Portraits of the king are common in hotels, restaurants, night clubs and on billboards throughout the north African kingdom. - Sapa-AP

Morocco will revamp its Ph.D. research scholarships system as of 2003-2004  in order to enable post-graduate students prepare their diploma in the best material conditions, said here Monday prime minister, Driss Jettou. Speaking at the opening ceremony of a workshop, held here May 26-27, to assess Morocco's scientific research system, Jettou said the national system will be, for the first time, assessed by outstanding European experts, in the framework of an exemplary partnership with Moroccan specialists The assessment of our scientific potential will enable the country to consolidate its research capacities in all fields, Jettou said. Morocco's objective is to allocate, before the end of the decade, 1% of its GDP to research financing, the head of the Moroccan government said, adding that to reach it, "we have an excellent qualified human resources potential. Its mobilization and encouragement can transform the sector in Morocco and provide a significant added value to our economy." The upgrade of Morocco's competitiveness is closely linked to its ability to promote knowledge and contribute to its development. On his part, minister of higher education, executive training and scientific research, Khalid Alioua, stressed the need to reconsider the situation of researching professors. Alioua said the results of the assessment will make it possible to better define the national strategy of scientific research, calling for a reform of higher education and scientific research, and the mobilization of national scientific potential to achieve research programs linked to Morocco's development.

Morocco Launches Nationwide Anti-Illiteracy Campaign

RABAT, May 28 - Moroccan prime minister, Driss Jettou, officially launched on Tuesday a nationwide anti-illiteracy campaign themed "Massirat Annour" (March toward light). The prime minister stressed that the campaign marks the start of a combat that Morocco has embarked on to fight illiteracy and school dropping of the youth. He noted that after 47 years of independence, illiteracy has slightly regressed, citing "alarming and shocking figures" that 12 million Moroccans are illiterate, particularly among women (3 out of 5) and in rural areas (2 out of 3). He also deplored the serious consequences this situation entails on families, health, living conditions and social and cultural integration as well as on economy, since it also has incidence on growth and on the creation of wealth and jobs, affects incomes, participates in increasing poverty rates and worsens exclusion.  State secretary in charge of informal education and fighting illiteracy, Najima Ghozali, said illiteracy rate has been reduced from 80% in 1960, to 48% in 1999, before spelling out the outlines of her department's plan to bring down illiteracy rate from 48% presently to 35% by end 2004 and less than 20% by 2010, before a quasi-total eradication in 2015. The 2003 anti-illiteracy campaign, an endeavor associating all the Moroccan society components, consists of four programs: the general literacy campaign that will target 570,000 recipients, a program by public bodies for 146,000 persons, activities by associations for 269,000 persons and plan carried out by private enterprises for 15,000 recipients. The official said preparations for this nationwide campaign include a series of conferences and meetings, publishing a manual for literacy instructors and school books for recipients. The government will also organize a TV and radio ad campaign focusing on the themes of light and darkness. © MAP 2003

No SARS Cases in Morocco, Health Minister

RABAT, May 28 - There are no cases of the Severe Acute Respiratory Disease (SARS) in Morocco, renewed on Tuesday health minister, Mohamed Cheikh Biadillah. Answering a question in the House of Advisors on behalf of the health minister, secretary of state in charge of vocational training, Said Oulbacha, recalled that a watchdog committee was created as soon as the World Health Organization (WHO) warned against the disease. The committee was set up part of preventive measures undertaken by Morocco. It encompasses many specialists and representatives of the concerned ministerial departments. The preventive measures include deploying specialized medical teams at checkpoints and airports and an internal information network linking different services of the health ministry.  Oulbacha stressed that an awareness campaign on the dangers of the disease was held for health professionals. The government decided to purchase a special ambulance and equip two detection laboratories in Casablanca and Rabat and prepare special quarantine sites, he went on. After the disease broke out in Asia, the Moroccan health ministry recommended to Moroccans to avoid travelling to the Severe Acute Respiratory Disease (SARS) origin areas. © MAP 2003

RABAT (Reuters) - Morocco says it captured the alleged mastermind of suicide bombers who killed dozens of people in Casablanca this month but he has died from chronic heart and liver disease. State prosecutor Moulay Abdellah Alaoui Belghiti told state television that Abdelhaq Moulsabbat had been arrested on Monday in the central city of Fes, whose poor districts are reputed to be strongholds of radical Islamists. Moulsabbat died while being taken to hospital, he said. "He (Moulsabbat) suffered chronic heart and liver diseases. His liver weighed 2.1 kilograms (4.6 pounds) against the average 1.4 to 1.5 kilograms (3.3 pounds)," Belghiti said. "His health condition did not allow investigators unfortunately to complete all the elements of the investigation," he told state television. He described Moulsabbat as the "general coordinator of the attacks" and "emir" (commander in Arabic) behind the attacks on five central Casablanca locations on May 16 that killed 31 members of the public in addition to 12 suicide bombers.  Forensics traced Moulsabbat's woes to some medicines he used to take, Belghiti added. 

MORE SUSPECTS

Another would-be bomber was caught trying to flee, and a second surviving bomber was arrested the following day. The judicial police in their investigation have been focusing on a small ultra-conservative Islamist group known as al-Assirat al-Moustaquim (The Righteous Path), based in Casablanca's low-income Sidi Moumen neighbourhood and reputed to have followers in other cities including Fes. Belghiti added that another group of suspects would appear later on Wednesday before the public prosecutor. He gave no further details. Three men charged with direct or indirect involvement in the suicide bombings appeared before the public prosecutor on Monday. Charges against the three include premeditated murder and formation of a criminal band. Their professions were nightwatchman, welder and street vendor, and their ages ranged from 22 to 28. Security forces raided mainly poor areas of several cities in the hunt for suspects or leads that could shed the light on the attacks, which authorities say were linked to international terrorism. Most of the areas are shantytowns, sheltering mainly poorly educated and jobless Moroccans, most of them from rural areas. King Mohammed visited the Sidi Moumen district on Wednesday after launching a giant 64,000-unit housing project for low-income households in Casablanca costing an estimated 8.2 billion dirhams. 

http://news.ft.com/servlet/ContentServer?pagename=FT.com/WireFeed/WireFeed&c=WireFeed&cid=1052012780756&p=1014232938216 

RABAT, May 28 (Reuters) - Morocoo is set to cut by up to half its 2003 economic growth forecast, set at 6.5 percent, in the aftermath of this month's suicide bombings in the country, a senior government source said on Wednesday. "The attacks should deal a strong blow to tourism , handicrafts, and transport in addition to the psychological impact on investors' confidence," the source told Reuters. Five almost simultaneous bombings hit Casablanca, the country's business heart, on May 16, killing 43 people. Before the attacks, finance authorities, bolstered by strong agricultural output this year, hiked economic growth forecasts for the year to 6.5 percent compared with 4.5 percent in 2002.  "A drop in remittances by emigrants is expected this year. The timing of the attacks, just before the start of the summer period, was very sensitive for our economy," the source said. Morocco gains some $5 billion a year from tourism and remittances by some two million Moroccans living abroad who come back for the sumnmer holidays to their country. The country's GDP stands at some $41 billion. To make progress in cutting proverty and unemployment the north African country needs a minimum of 6-7 percent annual growth. The bombings are believed to have been carried out by a small ultra-conservative Islamist group, al-Assirat al-Moustaquim (The Righteous Path). Three Moroccan men appeared before the public prosecutor on charges related to them on Tuesday.

Morocco's Premier, Driss Jettou, met on Wednesday United States Assistant Secretary of Commerce, Maria Cino, on visit to Morocco with an important delegation of economic operators. Both officials stressed the importance of the Free Trade Agreement negotiations underway between Rabat and Washington, says a release of the Prime Minister's office. While praising progress achieved in these negotiations, both sides highlighted the importance of the FTA with regard to the consolidation of commercials exchanges and US investments in the Kingdom. The US official further stressed the importance of Morocco's advances in democratic realms as well as the pace and the significance of economic and social reforms engaged by the Moroccan government. "The FTA, the third round of which is due in a few days, will undoubtedly contribute to the consolidation of business ties between the Kingdom and the United States and will have positive fallbacks on both economies," stressed the Moroccan official.

Morocco's Princess Lalla Hasna dedicated in London Tuesday an exhibition of Moroccan contemporary art, titled "Beyond the Myth," to last through June 28. The exhibition, held at School of Oriental and African studies' Brunei gallery, features works of 12 Moroccan renowned artists who were selected to have their paintings exhibited for the first time in London.

Some 1,000 teachers of the Berber language will be appointed in 300 primary schools throughout Morocco as of next fall, minister of national education and youth, Habib El Malki, said. Speaking at the question time in the Chamber of Advisers (parliament's upper chamber), the minister announced that the government has been cooperating with the Royal Institute of the Amazigh Culture (IRCAM) to develop training programs for these teachers in eight regional pedagogic centers. El Malki surveyed other preparations for the teaching of Berber, hoping that the subject will be generalized nationwide by 2010. He stressed that teaching Berber, one of the components of the Moroccan identity, is part of the provisions of the national charter of education and training.

May 29, 2003 (Al-Bawaba via COMTEX) -- The Board of Directors of the African Development Bank (ADB) approved on May 26,2003, a grant of $500,000 for in favor of Morocco to enable the country alleviate the suffering of the communities affected by the November 2002 floods. The main beneficiaries of the grant will be the 341 families hardest hit by the floods in Mohamedia in the Grand Casablanca region, and Settat in the Chaouia-Ouardigha region, two areas located in the North-West of Morocco and through which two cyclic-flooding oueds flow. The beneficiaries of the grant, estimated at about 2,000 people are among the poorest in Mohamedia and Settat. They comprise mainly farmers and small stockbreeders who lost their agricultural equipment as well as some heads of cattle after the floods. Furthermore, this disaster has exacerbated their already precarious health and nutritional situation, thereby worsening their living conditions.

The Bank's humanitarian aid aims to cater for the needs of the disaster-stricken families, which remained unfulfilled in spite of the different forms of support and solidarity shown after the floods. It will thus help to satisfy the basic emergency needs-food, health and clothes-of the disaster victims, particularly the 341 families identified as being hardest hit by the floods who are still living in make-shift shelters. On the other hand, the Bank's assistance will be used to partially reconstitute the production means-agricultural tools and inputs, some heads of sheep and cattle-of 141 farming families and small stockbreeders, identified as being the hardest hit in the Settat rural area. The Bank's assistance will support current efforts to finance emergency needs by national authorities, international agencies, local and international NGOs. Bank Group operations in Morocco started in 1970. To date, the Group has committed a total amount of $3.55 billion on 72 operations. Of this amount, about $2.66 billion has been disbursed.

(menareport.com) By Mena Report Reporters (C) 2003 Albawaba.com, All rights reserved.

May 25, 2003 (Sunday Business - Knight Ridder/Tribune Business News via COMTEX) -- 

The government of Morocco blamed Al-Qaeda for the recent terrorist attacks in Casablanca which left 41 dead, including at least 10 suicide bombers, but its own failed economic and social policies have helped foster the conditions which allowed extremism to spread. With the population expanding by 1.6 percent a year, economic growth of at least that amount is required to keep the standard of living constant. Unfortunately, the country's failed economic policies mean that the average Moroccan is getting poorer: per capita gross national income has dropped from an already low $1,250 (UKpound 763, E1,060) in 1997 to $1,190 in 2001, according to the latest figures from the World Bank. Economic growth has slowed from 4.6 percent a year between 1981 and 1991 to 2.5 percent between 1991 and 2001.  Largely as a result, 19 percent of the population lives below the poverty line, life expectancy is below the already poor average for the Middle East and north Africa, and infant mortality is higher. Access to a good water supply is also below that of the rest of the region, according to the bank. The country has also singularly failed to educate its citizens: latest figures from the World Bank show that more than half of the country's 29 million population is illiterate. Among women, the total rises to more than 60 percent. Unless radical new policies are implemented to improve education, modernize the political system and get to grips with the country's creaking infrastructure, Morocco's slums will continue to be breeding grounds for terrorist sympathizers. Many of the Moroccans involved in the latest round of attacks were from some of the poorest parts of Casablanca -- areas where government rule has broken down and there is little chance of people getting a decent education, let alone finding a job.

Recent reforms introduced since the new king came to power have done little to ease their overall plight. These conditions are ripe for extremists; it is easier to preach hatred and intolerance to people who cannot read or write. Not only do the authorities need to hunt down and root out the extremists, they need to improve the lot of many of their citizens by modernising their economy, strengthening property rights and laying down the foundations for long-term market-led growth. The war on terror is only beginning to be fought, not just on the political and military battleground, but on the more tricky economic one, too. To see more of Sunday Business, or to subscribe to the newspaper, go to http://www.sundaybusiness.co.uk UKpound preceding a numeral refers to the United Kingdom's pound sterling.

(c) 2003, Sunday Business, London. Distributed by Knight Ridder/Tribune Business News.

RABAT, May 28 (Reuters) - Morocco will revise slightly its 2003 economic growth forecast in the aftermath of this month's suicide bombings in the country, Finance Minister Fathallah Oualalou said on Wednesday. A senior government source told Reuters earlier in the day that finance authorities were set to cut the growth forecast by as much as half. "It's impossible. We believe that the attacks will have no impact on GDP growth. We are confident," Oualalou told Reuters. "To stay on the safe side, we are sticking to 5.5 percent growth forecast," he added. The country's forecast for gross domestic product was 6.5 percent. The government source, who asked for anonymity, said the attacks would deal a strong blow to tourism, handicrafts, and transport as well as investor confidence. He added that the timing of the attacks, just before the start of the summer holidays, was sensitive for the Moroccan economy.  Morocco earns some $5 billion a year from tourism and remittances by some two million Moroccans living abroad who return to the country for the sumnmer holidays. The nation's GDP stands at some $41 billion. But Oualalou said tourism receipts and remittances represent financial transfers that have no direct impact on GDP growth but rather on the trade balance. "Indicators show that tourism and immigrants receipts will suffer no impact from the attacks. I don't see any impact neither on the budget deficit forecast for 2003, which is set to reach 3.0 percent," the minister said. Five almost simultaneous bombings hit Casablanca, the country's business heart, on May 16, killing 43 people. Before the attacks, finance authorities, bolstered by strong agricultural output this year, hiked economic growth forecasts for the year to 6.5 percent compared with 4.5 percent in 2002. "We are expecting this year a strong rise in added value of agriculture, the main driving force of our economic growth," Oualalou added. To make progress in cutting poverty and unemployment the North African country needs a minimum of 6 to 7 percent annual growth. The bombings are believed to have been carried out by a small ultra-conservative Islamist group, al-Assirat al-Moustaquim (The Righteous Path). Three Moroccan men appeared before the public prosecutor on charges related to them on Tuesday. 

((Reporting by Souhail Karam; editing by Toni Reinhold; Reuters Messaging: souhail.karam.reuters.com@reuters.net; e-mail souhail.karam@reuters.com; +212-37 726518)) © Reuters Limited.

French do-it-yourself tools chain opens branch in Morocco 

Morocco-France, Business, 5/30/2003

"Bricorama" a French group that sells repair tools announced plans to establish a branch in Morocco that will open its first store next October in Casablanca. Bricorama has set up, to this end, a Moroccan-registered company, says the company's CEO, Bernard Semeria, who estimated the investment at some 300 million DH (about US$ 30 million). They are expecting to post sales of 40 million DH (US$ 4 million) in the first operation year and create over 1,000 permanent jobs. The group also projects to open dozens of other stores throughout Morocco in the coming seven years. The CEO explained that half of tools sold at Bricorama stores will be imported and the rest supplied by the Moroccan market.

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