Morocco recorded a sharp rise in newly created businesses during the first eight months of 2025, a sign of growing entrepreneurial activity in the North African kingdom, government data showed.
Speaking on Monday during a question-and-answer session at the House of Representatives, Younes Sekkouri, Minister of Economic Inclusion, Small Business, Employment, and Skills, said the number of new enterprises rose by 17.5 percent compared with the same period in 2024. Around 72,343 businesses were established between January and August this year.
The minister made the comments in response to a question from the Justice and Development Party’s parliamentary group regarding rising company bankruptcies. Sekkouri noted that business closures during the same period were limited to around 15,000, far fewer than the number of new businesses created, indicating net growth in the country’s private sector.
Sekkouri also highlighted improvements in formal employment practices, citing data from the National Social Security Fund (CNSS). He said the number of companies regularly declaring employees to the CNSS rose from 255,000 in 2019 to 344,000 by the end of 2024 an increase of roughly 34% compared with pre-pandemic levels. The government tracks trends in business creation and closures using data from both the Moroccan Office of Industrial and Commercial Property and the CNSS.
“This growth reflects Morocco’s efforts to foster entrepreneurship, formalisation, and job creation,” Sekkouri said, noting the government’s ongoing support for small and medium-sized enterprises (SMEs), particularly through financing programs and simplified registration procedures.
Analysts say the rise in new businesses underscores the resilience of Morocco’s private sector, which has gradually recovered from the economic shocks of the COVID-19 pandemic. SMEs, which form the backbone of the Moroccan economy, are key to employment generation, innovation, and export growth.
Economic reforms over the past decade have aimed to ease business registration processes and improve access to financing. The government has also promoted digitalisation of administrative procedures and incentivised formalisation through tax breaks and social security coverage, measures credited with encouraging compliance and expanding the formal economy.
How Morocco’s government support entrepreneurs.
Morocco has also focused on improving the business environment to attract both domestic and foreign investors. The World Bank’s Doing Business rankings, while noting areas for further reform, have highlighted progress in areas such as starting a business, obtaining construction permits, and protecting minority investors.
The upward trend in business creation comes as Morocco seeks to diversify its economy, reduce unemployment, and strengthen social inclusion. The government has launched initiatives to support women entrepreneurs, youth-led start-ups, and green business projects in line with the kingdom’s broader economic development goals.
Despite the encouraging figures, experts caution that sustainability remains a challenge for new enterprises, particularly in sectors vulnerable to market fluctuations, competition, or supply-chain disruptions. Access to credit, skilled labour, and regulatory compliance continue to be critical factors in determining the longevity of SMEs.
Nevertheless, the data from Sekkouri’s ministry provides an optimistic snapshot of Morocco’s entrepreneurial landscape in 2025, suggesting that the combined effects of policy support, formalisation incentives, and post-pandemic economic recovery are driving a notable expansion in private-sector activity.
Morocco’s push to strengthen SMEs and formal employment is part of a broader strategy to promote inclusive growth, enhance social protection, and build resilience against economic shocks, laying the foundation for sustained development in the coming years.
The surge in business creation in the first eight months of 2025 illustrates the combined effects of policy support, formalisation incentives, and post-pandemic economic recovery. Observers say the trend reflects a growing confidence among entrepreneurs, improved access to financing, and more favourable administrative conditions, providing a positive signal for Morocco’s economic trajectory.
The government’s focus on formalisation, social security registration, and entrepreneurship is also part of a broader effort to enhance tax compliance, expand social protection coverage, and strengthen the contribution of SMEs to sustainable and inclusive growth. With continued policy support, Morocco aims to position its private sector as a key engine of long-term development and job creation.