Savvy investors are always on the lookout for emerging opportunities that promise substantial returns while mitigating risks. In recent times, Marrakech has emerged as a beacon of promise, attracting the attention of investors worldwide. The red city stands as a gateway to growth for astute investors, with its unique blend of economic stability, strategic location, and booming tourism industry. According to Statista, the projected direct tourism contribution of Marrakech to Morocco’s GDP in 2026 is estimated to be around $1.4bn.
Economic stability
At the heart of Marrakech lies the stable political climate and robust economy of Morocco. With GDP growth estimates of 3.1 percent in 2024, 3.3 percent in 2025, and 3.5 percent in 2026, according to the World Bank, Morocco showcases a solid economic foundation that instils confidence in investors. The country’s consistent economic growth, supported by prudent fiscal policies and structural reforms, creates a conducive environment for investments to thrive. Marrakech, as a significant economic hub within Morocco, benefits immensely from this stability, offering investors a secure and reliable platform for their ventures.
Strategic location
Strategically positioned at the crossroads of Europe and Africa, Marrakech enjoys a coveted geographic location that serves as a bridge between continents. This strategic positioning offers unparalleled advantages for businesses looking to expand their reach into diverse markets. Marrakech’s accessibility and connectivity make it an ideal base for companies seeking to tap into the burgeoning markets of both Europe and Africa. Furthermore, the city’s modern infrastructure and well-developed transportation networks enhance its appeal as a strategic investment destination, facilitating seamless trade and commerce across borders.
Rising capital markets
Marrakech serves as a catalyst for foreign portfolio investment, exemplifying the nation’s commitment to equitable treatment under its legislation for all entities – domestic and foreign alike. Notably, the Casablanca Stock Exchange (CSE) distinguishes itself in the region with its unwavering open-door policy, warmly welcoming foreign participation. This unrestricted access echoes Morocco’s steadfast dedication to nurturing global investment prospects, with Marrakech standing as a dynamic hub of opportunity.
Growing tourism industry
Marrakech’s allure as a tourism powerhouse cannot be overstated. With over two million tourists visiting annually, according to Statista, the city has firmly established itself as a premier destination on the global tourism map. Marrakech’s rich cultural heritage, vibrant souks, and architectural marvels such as the iconic Jemaa el-Fnaa and the majestic Koutoubia Mosque captivate visitors from around the world.
The tourism industry injects billions into the local economy, creating a ripple effect of economic prosperity. The tourism sector in Marrakech presents a lucrative opportunity for investment, with various avenues ranging from hospitality and leisure to retail and entertainment.
Infrastructure development
Investments in infrastructure projects are reshaping the landscape of Marrakech, paving the way for economic growth and development. The city’s infrastructure initiatives encompass a wide range of projects, including transportation networks, urban development, and real estate ventures. These developments not only enhance the city’s liveability and attractiveness but also create opportunities for investors across various sectors.
From investing in commercial and residential real estate to financing infrastructure projects, investors have ample opportunities to contribute to Marrakech’s development while reaping substantial returns on their investments.
Government support
The Moroccan government’s proactive approach to attracting foreign investments has been instrumental in fuelling Marrakech’s growth and development. Through investor-friendly policies, incentives, and reforms, the government aims to create an enabling environment that fosters economic growth and encourages investment.
Initiatives such as the Industrial Acceleration Plan and the National Tourism Development Strategy demonstrate the government’s commitment to supporting key sectors and driving sustainable economic development.
In 2023, Morocco allocated $580m towards the development of its tourism sector by 2026, aiming to enhance its appeal and draw a greater number of visitors. For investors, this supportive regulatory environment provides assurance and confidence, making Marrakech an attractive destination for investment across various industries.
Green investments
Green investments are at the forefront of Morocco’s agenda, with Marrakech emerging as a key player in the nation’s push towards sustainability. Morocco is heavily investing in renewable energy, aiming for 52 percent installed capacity by 2030 and 40 percent renewable energy consumption by 2035. The country’s New Development Model emphasises green investments like smart grids, green hydrogen, and energy storage.
Real estate boom
Marrakech is experiencing a real estate boom, driven by increasing demand for residential, commercial, and hospitality properties. The city’s growing population, coupled with rising disposable incomes and urbanisation trends, has fuelled demand for real estate across all segments. From luxury villas and upscale apartments to commercial office spaces and boutique hotels, Marrakech offers a diverse range of real estate investment opportunities.
The city’s robust tourism industry further amplifies demand for hospitality properties, making Marrakech an attractive destination for real estate investors seeking capital appreciation and rental income.
Gross rental yields in Morocco are robust, as indicated by research conducted by the Global Property Guide. Particularly in Marrakesh, investors can anticipate impressive returns, with rental yields ranging from approximately 7.29 percent to 9.18 percent annually. As investors chart new horizons in Marrakech, they not only contribute to its ongoing growth and development but also partake in a journey of prosperity and cultural immersion unlike any other.