Globalization in Morocco - Essay Example

Globalization of Morocco Order no: 214107 No. of pages: 6 Premium 6530 Moorish dynasties began their rule in Morocco about a century after the Arab conquests in 788. The 16th century saw the rise of the Saadi monarchy, especially the period under Ahmad AL-MANSUR (1578-1603), (World Fact Book) who fought against foreign invasion and ushered in a golden era. In 1860 Spain took possession of Northern Morocco which began the decline of the Moroccan sovereignty because of the trade rivalry that took place between them. Morocco has natural resources such as phosphates, zinc, iron ore, lead, manganese, fish and salt and enjoys a Mediterranean type of climate. The population of Morocco is approximately 33,757,175 (World Fact Book) with a mixture of ethnic groups like Muslims, Christians, Arabs, Jewish and others. The official language spoken is Arabic and its dialects and the language used for business is French. Their legal system is based on Islamic law and French and Spanish civil law systems. The economic policies of Morocco brought some stability to the country in the 1990’s but could not initiate sufficient growth to put an end to the prevailing unemployment problems. The problem worsened when draught reduced the output in agriculture and as a result wheat had to be imported at sky rocketing world prices. Trying to build up small and medium enterprises and its continued dependence on foreign energy slowed down the economy still further. Therefore Moroccan authorities realize that understanding the reasons for their poverty and providing jobs to beat the problem of unemployment and improving agriculture are the key points necessary to improve domestic security and further development. To improve the living conditions of its people the Moroccan Government is trying to implement a few reforms in their effort of opening its economy to foreign investors. Their currency the dirham is wholly convertible only for current account transactions. In 2005, the Moroccan Government launched the National Initiative for Human Development (INDH), a $2 billion social development plan that addressed the poverty and unemployment issues of the country and to improve the conditions of the urban slums in the country. (World Fact Book) In 2006, it also took part in the FTA (Free Trade Agreement) (World Fact Book) with the United States to resolve some of the long term issues associated with improvement in education and Job prospects for Moroccan youth. The FTA is also responsible for bridging the gap between the rich and the poor by encouraging tourism and boosting competition in the textile industry. On the international front Morocco faces problems from Spain’s control of places like the coastal enclaves of Ceuta, Melilla, and Penon de Velez de la Gomera, and Islas Chafarinas, the islands of Penon de Alhucemas and its surrounding waters; (World Fact Book) In 2002 Morocco rejected Spain’s proposal of a unilateral median right from the Canary islands and hence presently Morocco serves as for illegal migration into Spain from North Africa and it is also one of the largest producers of drugs like hashish, cannabis and cocaine in the world which is sent mostly to Western Europe. Globalization has helped in a big way to revolutionize all the countries in the world and bring about radical changes for the betterment of its population. The famous sociologist defines globalization “as a decoupling of space and time, emphasizing that with instantaneous communications, knowledge and culture can be shared around the world simultaneously.” (Anthony Giddens, Globalization Guide) Though traditional values remain the same, globalization has sought to bring about improvement through the internet, by projecting the different cultures of different countries. Culture is not static, but on the other hand it is opened to change. According to Webster’s Third New International Dictionary, it defines culture as, "total pattern of human behavior and its products embodied in speech, action, and artifacts and dependent upon mans capacity for learning and transmitting knowledge to succeeding generations." (David Rothkop, 1997) It also brings to the forefront diverse capitalism enjoyed by different countries. For example the cultural products of America are popular because they are successful in world markets. This very much reflects its popularity and success and hence tends to influence others. David White and Roula Khalaf speak on the crucial milestone by way of the development of the Moroccan Economic and Political issues in lieu of the Agreement with the European Union. The development is directed towards modernization of the various business negotiations and practices and the doing away with various tedious and cumbersome administrative laws. (David White and Roula Khalaf, 1995) For a country whose nearly half of the active population depends mostly on agriculture and land, the droughts had taken its toll and crushed the economy still further. With a dramatic effect the harvests had nearly halved while inflation had risen to its zenith. (David White and Roula Khalaf, 1995) The EU agreement together with financial aid from different quarters helped to avoid a catastrophe. The World Bank submitted its report on the request of King Hasan II. The balance between growth and unemployment were not equal and in fact there were disparaging differences. This was due to the fact that in the last quarter of the century, though the Moroccan population had nearly doubled, it had not seen the similar increase in the economy. Many of the Moroccans lived in “barely acceptable conditions’, due to this reason. Education was another nagging issue faced by the Moroccans. Even though the Government set aside a good bit for education, about 51 % of the Moroccans were illiterate. The World Bank pointed out this fact to Burkina Faso stating that "Few countries have obtained such disappointing results for such large investments in the education field. Morocco is far behind the other countries of the Middle East and North Africa...much poorer countries such as Kenya or Nepal have obtained qualitatively better results than Morocco." (World Bank) The Moroccan Administration was criticized for being clumsy and slow in its decision making and there was a great need to overhaul the administration. The report called for more decisive decisions to be taken with more incentives and pave the way for much needed changes to be put into force. The Moroccan newspaper headlines carried the World Bank Report regularly for months together stating that it was time a great change was brought about. This served to initiate a change in the laws of the Administration, labor, education and business. In lieu of this, the government has promised a constitutional change by creating a second chamber in the parliament. The watchword for the major constitutional change would be caution and it would aim at a cross – party support. Such a system would provide an interim prime minister who would posses the legal right to take major decisions to tide over the catastrophes that had stricken the country. The present political system has more of the semblance to European democracy. King Hassan has been ruling the country for the last 35 years and is the longest reigning monarch in the world. He too has made a good contribution to his country by way of improving the human rights record of country and has emphasized a higher level of transparency in dealings involving politics and business. After Morocco had invaded the Western Sahara, the Republic of Saharawi was established and would be celebrating their 30th anniversary this year reports Nick Dearden and Natalie Sharples. From the time the International Court of justice proclaimed that Morocco had no claim to this Spanish colony, they had dropped bombs and driven thousands of refugees into the Algerian desert where they put up temporary shelters and lived there ever since still waiting for the International community to fulfill their promise of a referendum regarding their motherland. Finally the Saharawi Arab Democratic Republic formed their own government which houses ministries for health, justice, education and transport. All efforts are being made to put an end to the longest occurring conflict and achieving liberation for Africa’s last colony. As Dearden Senior Campaigner at war states, “For 30 years the Saharawi people have been forced to live in some of the harshest conditions on Earth, while the international community stays silent. It’s time for people to get involved and to pressure the UK into action on the International stage. Thirty years is enough.” (Dearden, 2005) From the period of the mid – 1980’s the Government of Morocco has strived to bring about vital changes in the economic reforms such as privatization of companies, making changes in pricing of policies in order to enhance local production as well as business and devaluing the currency. Tourism in Morocco is being encouraged because Morocco is endowed with beautiful sandy beaches, a lot of sunshine, rich and interesting cultural heritage accompanied with a willingness to stimulate growth and competition in the country. Morocco also has the capacity for being self sufficient in food production because of its large area of arable land. It is encouraging its farmers to grow crops such as corn, wheat, barley necessary for domestic consumption and fruits such as citrus and vegetables for export. Growing of commercial crops such as sunflower, sugarcane, sugar beet and cotton is progressing while crops such as tea, Soya beans and tobacco are being tried out in an experimental stage. The wine industry is also expanding into the European market as active efforts are been taken for irrigating the land and making it much more fertile and cultivable. (Britannica Online Encyclopedia) The Government has made great strides in increasing its exports while minimizing its imports. Privatization of companies has enhanced a lot of positive activity while outsourcing has claimed its own special corner. While approximately one- third of the population is engaged in agriculture, another one- third earn their living from jobs like mining, construction and manufacturing of goods. (Britannica Online Encyclopedia) Even though a lot improvements have seen the light of day in Morocco, yet the problem of unemployment is still rampant with at least one- fifth of its workforce still without jobs especially university graduate holders of non- technical degrees. Taxes are also levied on individuals, goods and services and also on petroleum and tobacco. Morocco has still a long way to go in the development of their economy and putting an end to unemployment. Works Cited Page: Central Intelligence Agency, Morocco World Fact Book, 2008 www.cia.gov/library/publications/the-world-factbook/geos/mo.html Globalization Guide www.globalisationguide.org/07.html David Rothkopf, Effects of Globalization and Culture, Foreign Policy, Global Policy Forum, New York, USA. 1997. http://www.globalpolicy.org/global/cultural/globcult.htm David White and Roula Khalaf, Morocco: Challenges Loom As Barriers Come Down. Reprinted with permission from FINANCIAL TIMES, (London, England)  Dec. 19, 1995, p. 21 Economy of Morocco, Encyclopedia Britannica’s Online. (pgs. 16 – 21) Nick Dearden, Fighting Global Poverty, Taking it Down to the Shop Floor, 2005. Read More