a view of Morocco today. Casablanca.
In this analytical note published by the American think tank *Stimson Center, researchers Lana Bleik, Hafed Al Ghwell and Yusuf Can take stock of the Kingdom’s strategic situation. This text is a translation and summary of their original report in English, entitled *Morocco Country Policy Report.
Morocco enters 2026 as a sophisticated middle power, occupying a structurally unique position at the intersection of the Atlantic, Mediterranean and Sahelian spheres. No longer being a simple buffer state for the management of European migrations, the Kingdom has established itself as a proactive regional actor and an anchor of stability at the crossroads of Europe and Africa. Under the leadership of King Mohammed VI, the country has taken advantage of its geographical position to facilitate trade, investment and security cooperation across continents, restructuring in the process the strategic architecture of the Maghreb. This transition results in the transition from a low-cost manufacturing platform to the status of a high-tech industrial exporter, pioneer of green energy and emerging center of battery materials. By becoming Africa’s largest automobile manufacturer and capitalizing on its significant phosphate reserves, Morocco is attracting sustained investment from Europe and the Gulf. It is thus positioning itself as a preferred nearshoring destination as part of Western efforts to reduce dependence on Asian supply chains.
Domestically, this dynamic is accompanied by an unprecedented effort at social consolidation. The social protection reform launched in 2021, which aims to extend medical coverage and family allowances to the entire population, represents the most ambient public policy initiative carried out in a generation. This historic project constitutes the basis of the New Development Model (NMD), although its long-term budgetary viability still depends on the State’s capacity to formalize the economy and generate sustainable jobs for youth. At the same time, on the international scene, Rabat deploys an uninhibited foreign policy, described by analysts as “strategic transactionality”. Morocco now conditions its partnerships on rigorous alignment with its national interests, first and foremost the recognition of its sovereignty over Western Sahara. Through strong bilateral alliances with the United States, China and several European states, combined with an asserted economic presence in sub-Saharan Africa, the Kingdom seeks to consolidate its diplomatic achievements.
Despite this upward trajectory, the Moroccan model faces headwinds and critical vulnerabilities that are slowing its momentum. The country is experiencing a historic water shortage which threatens agricultural balance and long-term water security. Added to this are youth unemployment which remains stubbornly high, a vast informal economy and the persistent geopolitical impasse with neighboring Algeria, which is freezing the economic integration of the Maghreb. In short, the Morocco of 2026 embodies the resilience and agility of a rapidly changing regional power, whose capacity to transform its macroeconomic and diplomatic successes into socially and ecologically inclusive development will determine its definitive place in an increasingly global order. competitive.
