Ultimate expatriation guide to Morocco: Rich Heritage, Vibrant Souks, and Majestic Landscapes!
Last Updated on 29 December 2024
Morocco stands out as a top choice for French and Spanish expats, with **many French and Spanish folks calling it home**.
People are drawn to Morocco for its climate, cost of living, and rich culture.
Marrakech, in particular, attracts many web entrepreneurs who want to stay close to Europe while immersing themselves in an amazing country.
Climate in Morocco
Morocco enjoys an excellent climate, with mild temperatures throughout the year. Summer temperatures can reach up to 35°C, while the rest of the year remains above 20°C, even in winter.
Language and Currency
- Primary Language: Arabic, French
- Local Currency: Moroccan Dirham
Taxation in Morocco
Key Highlights of Moroccan Taxation
- Corporate Tax Rates: Moroccan corporate tax rates are progressive, starting at 10% for profits up to 300,000 dirhams (approximately €29,000), then increasing to 20% for profits up to 1 million dirhams (approximately €96,000), and finally reaching 31% for profits exceeding that threshold.
- Dividend Tax for Moroccan Residents: Dividends received by Moroccan residents are subject to a 15% withholding tax.
- Income Tax Rates for National and International Income: All income, whether from Moroccan or foreign sources, is subject to a progressive tax rate ranging from 0% to 38%.
Residence Requirement for Moroccan Tax Residency
Unlike many countries, it is not necessary to spend 183 days in Morocco to become a tax resident.
Having a permanent residence in Morocco, having your economic center there, or spending more than 183 days a year there will qualify you for tax residency.
Administrative Procedures for Settling in Morocco 🛂
After 90 days of residing in Morocco, you must apply for a residence card to remain in the country.
The application is made through the “Sûreté nationale” services. The validity of residence cards ranges from 1 to 10 years, depending on the purpose of your stay.
After four years of residency in Morocco, you can apply for a 10-year residence card with the possibility of renewal.
Best Cities for Expatriation in Morocco 🌆
Here are the top three cities for residing in Morocco:
- Marrakech: Located in western Morocco, Marrakech is one of the most attractive and vibrant cities in the country. It boasts the best restaurants, hotels, and activities, making it a popular tourist destination. Marrakech is also home to a thriving community of expatriate entrepreneurs.
- Taghazout: A fishing village located on the southwest coast of Morocco, Taghazout is highly favored by digital nomads due to its incredible surf spots. The atmosphere in Taghazout is bohemian and relaxed.
- Tangier: Situated in northern Morocco, overlooking the Strait of Gibraltar, Tangier is the country’s third-largest city. It offers a dynamic environment with decent infrastructure. Tangier is an ideal place to enjoy a low cost of living while having easy access to Spain.
Language: French Fluency
Language barriers can be a concern for many expatriates.
However, in Morocco, approximately 40% of the population speaks and writes in French. This percentage is even higher in international cities like Marrakech.
This is an advantage for French-speaking business owners here and is the reason why this country shares such a special bond with France.
There is also a large spanish speaking community in the largest Moroccan cities!
Cost of Living in Morocco
Compared to Paris, living in Marrakech is approximately 60% more affordable.
It is possible to live comfortably with a monthly budget of less than €1,000, depending on your lifestyle.
- Studio Apartment in City Center: €350 to €600 per month
- Hotel Night: €35 per night
- Basic Meal: €4.05 per person
- Beer (0.5L): €1.90
- Coworking Space: €120 per month
- Internet Subscription: €30 per month
Opening a Bank Account in Morocco
Most Moroccan banks are subsidiaries of major French banks.
Four banks of interest for expatriates in Morocco are
- BMCI (a subsidiary of BNP Paribas),
- Crédit du Maroc (a subsidiary of Crédit Agricole),
- SGMB (a subsidiary of Société Générale),
- and Banque Populaire.
Opening a bank account in Morocco is relatively straightforward, especially if you speak French.
If your income primarily comes in euros or dollars, it is advisable to opt for a convertible dirham account, which allows for easy conversion of foreign currencies into dirhams.
As an expatriate, having a multi-currency account with TransferWise will greatly facilitate your daily transactions.
Advantages of TransferWise:
- Fast and reliable international transfers
- Free multi-currency account
- Free MasterCard debit card
- Free account opening and no maintenance fees
