The Fifth China-Arab States Expo - Moroccan Investment and Trade Promotion Conference is held in Yinchuan, Ningxia Hui Autonomous Region, on August 10, 2021 (CNSPHOTO)

Born in 2010 from the vision of King Mohammed VI, the Casablanca Finance City (CFC) is an economic and financial hub that is growing in importance. “The objective of this initiative is to position Morocco at the forefront of emerging nations in Africa,” said Said Ibrahimi, CEO of the CFC. The city’s objective is to attract capital and encourage economic and financial actors to do business on the continent through a favorable regulatory framework. 

It was intended, according to Ibrahimi, to build an efficient ecosystem in Casablanca for international investors who could benefit both from Morocco’s assets, in terms of stability and connectivity, and from the city’s resources, with access to a pool of talent and a range of support services. 

“In brief, the goal was to establish Casablanca as a model economic and financial hub for Africa,” Ibrahimi explained. The CFC has now established itself as one of the main emerging financial hubs. “We are already the first African financial center, but also the first green financial center in Africa and the Middle East, according to international rankings,” he added. 

The CFC is Africa’s premier business community with more than 200 member companies from different industries, including banking, insurance, consulting, asset management, legal services, and technology, among others. Many of these companies are Fortune 500 companies. The CFC has become an economic and financial hub with access to the rest of Africa through its political and economic ties to countries on the continent.  

A strategic platform 

The CFC’s interest in China is consistent with the good economic and cultural relations enjoyed by the two countries. This prosperous partnership was consolidated in 2016 by King Mohammed VI’s official visit to China, during which several cooperation agreements were signed. 

“Many Chinese companies have established themselves in Morocco or have formed a successful business network there. We are glad to see that trade has achieved a new high in 2021, at $6 billion,” Ibrahimi said. By establishing institutional connections with the financial centers of Beijing, Shanghai, and Hong Kong, the CFC has helped strengthen Morocco’s relations with African countries as well as China. The initiative also partners with Tsinghua University in Beijing on the Global Green Finance Leadership Program, a platform for exchanging inspiring practices and innovations for the progress of green and sustainable finance. 

The CFC is meant for companies aiming to expand into Africa, a complex region that is full of opportunities. The continent has many economic, cultural and regulatory differences, to name a few. Some international investors are hesitant to make investments because of its complexity, which is difficult to pinpoint. “The program offers a three-pronged value proposition to our members: streamlined business and administrative operations, access to a business community with continental ambitions, and the ability to evolve in a unique living environment,” Ibrahimi stated. He pointed out that the CFC aids its members in all administrative matters, including accelerated visa applications, residence permits, and employment contracts for foreigners, as well as support for company start-ups. At the national level, agreements have been negotiated with a variety of stakeholders to this end. 

In addition to creating a favorable business environment, the CFC is working to capitalize on the potential of its network by launching a series of initiatives for companies that promote synergies. Business-specific focus groups bring together lawyers, consulting firms, insurers and human resources experts, among others. The initiative acts as a concrete facilitator and partner for all its members. 

The CFC has launched Africa Insights, an exclusive members-only service that provides data on the African business climate and current trends. Africa Insights publishes sector-specific publications in collaboration with affiliated companies who have worked in Africa and want to share what they’ve learned. The portal also serves as a hub for African news, with podcasts, webinars, expert analysis, country summaries, and a database of local contacts, including investment promotion agencies, banks, and diplomatic representatives.    

Promoting Sino-African exchanges 

Aerial view of Casablanca Finance City (ALESSIO MEI)

“We have three major Chinese companies based at the financial center. Having the CFC status since 2015, Bank of China, one of the big four Chinese banks, has established a representative office with an African focus,” explained Ibrahimi. From its Moroccan platform, the bank operates in seven African countries and supports Chinese companies in their development strategy on the continent. It participates in the financing of China-Africa trade, and eventually, the Casablanca representative office could become a branch. 

Huawei was given CFC status in the same year. In addition, the IT giant has created a new office in Casablanca. The Casablanca office serves as the regional headquarters for the company’s activities, overseeing and coordinating them. The company moved the office from Egypt to Morocco. Huawei currently has a presence in more than 30 African nations. 

Lenovo, a computer industry heavyweight, joined the CFC community in 2019, setting up a regional headquarter with operations in seven African nations. The company’s sales facilitation services are handled by this office. These three key organizations are valuable ambassadors for the CFC in China because of their international influence. 

“We hope that their example will be followed by other important Chinese corporations. We’re putting in a lot of effort into this, with company visits, roadshows, and direct contacts,” concluded Ibrahimi. 

The author is the President of the Africa-
China Cooperation Association for Development