With its publication in the Official Gazette on June 9, Morocco has officially approved the creation of a joint-stock company dedicated to managing defense industrial zones, a strategic step toward developing a sovereign military production base.
Decree No. 2.25.428 authorizes the formation of the “Société de gestion des zones industrielles de défense”, with initial capital of MAD 300,000, equally subscribed by the Military Housing and Equipment Agency (ALEM) and MEDZ, a subsidiary of Morocco’s sovereign wealth fund CDG. The company’s mission is to design, develop, market, and manage industrial zones specialized in defense manufacturing.
The move is part of Morocco’s implementation of royal directives aimed at building a structured ecosystem for defense and security equipment production, following a strategic partnership agreement signed in November 2023 by key ministries and agencies. The legal basis stems from Law 10.20 on the regulation of arms, defense materials, and munitions.
Defense expert Abderrahmane Mekkaoui told Hespress that the decree fills a legal and institutional gap in Morocco’s ongoing military industrialization drive. He emphasied that it provides clarity and confidence for potential investors, domestic and international, looking to enter this high-stakes sector.
Strategic affairs researcher Hicham Mouatadid described the initiative as a “foundational shift” that moves Morocco from reliance on foreign suppliers to building an independent, sovereign defense industry.
He highlighted the dual governance model, blending military and public financial institutions, as a deliberate effort to balance strategic discipline with market flexibility.
Mouatadid added that this industrial base could enhance Morocco’s position as a regional security player, particularly through joint ventures and technology transfers with rising powers like Turkey, India, and Israel.
Far from being a mere production site, he argued, the new defense zone represents a geo-strategic platform that redefines Morocco’s role in the regional arms equation.
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