The Economic, Social and Environmental Council (CESE) has called for the adoption of a «Small Business Act» and the acceleration of an integrated support and financing system for Morocco's micro and small enterprises (MSEs). The move, detailed in a new CESE study, aims to strengthen the resilience, growth, and modernization of these businesses, which form the backbone of the Moroccan economy. The study, prepared at the request of the House of Councillors and titled «The Challenges of Micro, Very Small and Small Enterprises in Morocco: Growth, Modernization and Development», highlights that MSEs represent more than 98% of formal businesses and provide 56% of private-sector jobs. However, their economic contribution remains below expectations due to persistent structural challenges. Between 2017 and 2022, only 0.2% of micro-enterprises managed to scale up to small size, while 15,658 failures were recorded in 2024, most involving very small firms. These businesses continue to face obstacles such as limited access to financing, fragmented non-financial support, low digital adoption, weak managerial skills, and competition from the informal sector. Many entrepreneurs start businesses out of necessity rather than opportunity, often relying heavily on local markets. The CESE stresses the need for an integrated approach that strengthens internal capacities while improving the external environment. It proposes unifying all support mechanisms under a single framework through the rapid introduction of a «Small Business Act». A dedicated independent national body would monitor and evaluate public policies targeting MSEs. The Council also calls for a territorial approach to implementation based on regional needs, the expansion of training programs for entrepreneurs in partnership with business associations, and improved access to financing tailored to each enterprise category. It urges further simplification and digitalization of administrative procedures, stronger anti-corruption measures, and greater inclusion of small firms in public procurement through differentiated quotas and joint contracts. According to CESE, strengthening Morocco's micro and small enterprises is key to creating sustainable jobs, stimulating local development, and ensuring their integration into the country's broader economic transformation.
