2 Presentation 3 A FRICA IS ARISING AS THE WORLD S FASTEST GROWING - - PowerPoint PPT Presentation

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CASABLANCA FINANCE CITY

Your Gateway to Africa’s Potential CFC Presentation

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Presentation

AFRICA IS ARISING AS THE WORLD’S FASTEST GROWING CONTINENT WITH

TREMENDOUS OPPORTUNITIES

3 out of 4 newborns in 2100 will be African 24 African countries will grow at a CAGR of at least 5% by 2030 70% of African households will have a purchasing power higher than $50001 in 2025 Massive infrastructure needs: ~$90 billion dollars/year until 2020 Booming working age population Increasing urbanisation: 100 African cities with over 1 million inhabitants in 2025

Namibia Malawi Zimbabwe South Africa Lesotho Swaziland Zambia Angola Tunisia Algeria Morocco Guinea Bissau Mauritania Chad Niger Eritrea Central African Republic Nigeria Mali Senegal Liberia Togo Cameroon Somalia Djibouti Gambia Sierra Leone Guinea Ivory Coast Benin DRC Gabon Burkina Ghana Equatorial Guinea Rwanda Mozambique Burundi Madagascar Kenya Comoros Sudan Ethiopia Uganda Egypt Libya Congo Tanzania Botswana

Casablanca

1: In purchasing power parity

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MOROCCO HOLDS A STRONG POSITION AS A HUB, THANKS TO ITS:

STRATEGIC ADVANTAGES

• Political stability
• World class infrastructure
• Air connectivity
• Privileged geographical position

DISTINGUISHED ECONOMIC FUNDAMENTALS

• Macroeconomic stability
• Investment grade
• Free trade agreements giving

access to a market of more than

• ne billion consumers

STRONG PRESENCE IN AFRICA

• Several Moroccan companies rooted

in Africa

• Strong financial sector
• Multisectoral experience

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... for 4 types of categories

Centralised access to African countries

International firms African countries Casablanca Finance City

Privileged access to international decision makers

Regional Headquarters

• f multinationals

(HQ) Financial Institutions (FI) Professional Services (PS)

WHAT IS THE AIM OF CASABLANCA FINANCE CITY (CFC)?

Casablanca is acting as a Hub... Holdings

To qualify for the CFC status, companies need to have a regional footprint, belong to

• ne of the 4 categories, and comply with Moroccan regulations

CFC’S VALUE PROPOSITION

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DOING BUSINESS ATTRACTIVE COST STRUCTURE DYNAMIC BUSINESS ECOSYSTEM

DOING BUSINESS INCENTIVES

Facilitating people flow and exchange control

 No restriction on the hiring of foreign employees;  Free management of assets in foreign currencies from foreign sources;  Unrestricted transfer of management and technical assistance fees within the group.

Fast-track administrative process

 An accelerated administrative procedure for company setup formalities within 48 hours;  Simplified procedures for « business » visas, foreign employment contracts, and residency permits.

Justice

 Set up of the Casablanca International Mediation & Arbitration Center (CIMAC) for the CFC ecosystem as well as for African companies in the region;  Dedicated chambers at Casablanca’s Tribunal of Commerce de Casablanca for CFC companies.

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Corporate tax

TAX INCENTIVES

• Net

taxable profits* from foreign sources:

 First 5 years: No tax  After 5 years: 8.75%

Financial Institutions, Holdings, & Professional Services

Exemption from registration fees on:  Company set-up  Capital increase

+

Personal Income tax

• All

CFC employees have the choice between:

 Option 1:  20% Flat rate on personal income tax for employees during the first 5 years after arrival  After 5 years: Standard taxation  Option 2: Standard taxation from the 1st year

• Maximum between:

 0.5%

• f
• perating

expenses  10% of adjusted profit before tax

Regional Headquarters & Rep. Offices

*: excluding interest income taxed at 30%

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A COMPREHENSIVE ECOSYSTEM: UNIQUE LIFESTYLE AND WORKING

ENVIRONMENT IN AFRICA

• The CFC area, 100ha central axis within

Casablanca - Anfa (~ 350 ha)

• 50ha dedicated to a park area
• A high quality real estate offer
• An attractive living environment & lifestyle

 Mixed use of space: offices, retails, residential  Extensive green spaces  Cultural, social and sports infrastructures  Availability of health and education centers  High standard security system

• Strong connection to transport

 2 tramway stations 1 high-speed train station (TGV)  Significant road connections to: airport, city centre, residential areas, other cities such as Rabat, El Jadida, or Marrakech

CFC’S PARTNERSHIPS AROUND THE WORLD

IMPROVING DOING BUSINESS IN THE REGION

Cooperation agreements with

• ther financial centres

South-South partnerships

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Casablanca

Mauritius Singapore Luxembourg London Montreal Paris Senegal Ivory Coast Congo Cameroun Burkina Faso Guinea Togo Rwanda Madagascar Tanzania Ghana Zambia Nigeria Mali

DYNAMIC ECOSYSTEM: MORE THAN 120 COMPANIES

BENEFITING FROM THE CFC STATUS

SOME EXAMPLES …

BANKING & INSURANCE CONSULTING & LAW FIRMS ASSET MANAGEMENT & PRIVATE EQUITY OTHER MULTINATIONAL CORPORATIONS

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CASABLANCA, 1ST BUSINESS & FINANCIAL HUB IN AFRICA

London (1) Shanghai (13) Hong Kong (4) Singapore (3) Zurich (11) Tokyo (5) Toronto (10) Frankfurt (23) Seoul (24) Beijing (16) Luxembourg (18) Melbourne (21) Dubai

(25)

Doha (39) Stockholm (46) Mexico City (73) Lisbon (78) Johannesburg (59) Maurice (71) Mumbai (63) New York (2) Sydney (8) Boston (9) San Francisco (6) Chicago (7) Montréal (14) Vancouver (17) Tel Aviv (32) Istanbul (66)

Casablanca (30)

Moscow (85)

Source: Global Financial Center Index, March 2017

Rio de Janeiro (73) Sao Paulo (62) British Virgin Islands (51) Riyadh(76)

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Appendices

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APPENDIX 1: KEY MILESTONES

2010 2018

• CFC law passed
• Tax incentives

for CFC institutions passed by law (Finance Act, Jan 2011)

• CFC decree

published

• First CFC statuses

granted

• First offices available
• CFC companies to move

to CFC office spaces

• Institutional

partnership signed between CFCA and Singapore ...

Continuous support to CFC companies

2011 2012

• Partnerships signed

with Luxembourg For Finance and the CityUK 2014

• CFC in the GFCI
• Africa 50 fund in CFC
• Partnership signed

with the Board of Investments of Mauritius 2013

• Partnership signed

with Paris Europlace 2015

• Partnership signed

with Finance Montreal

• More than 100

companies part of the CFC ecosystem 2016

• CFC ranked 1st

financial centre in Africa since 2016

• A robust south-south

partnerships network with ~15 APIs in Africa

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Public Private

• Bank Al Maghrib (BAM)
• Ministry of Economy and

Finance

• Casablanca Local Authorities
• Caisse de Dépôt et Gestion

(CDG)

• Banque Centrale Populaire

(BCP)

• Attijari Wafabank (AWB)
• BMCE Bank
• Casablanca Stock Exchange

(CSE)

• Maroclear
• Insurance federation

Steering committee Casablanca Finance City Authority Mission

• Define the “development strategy” for CFC
• Establish an attractive and competitive value

proposition for Morocco and CFC

• Drive new reforms to ensure a continuous

competitiveness of the offering

• Supervise and manage the real estate aspect of the

project

• Promote and advertise CFC to institutions and investors
• Advise and accompany CFC companies

"AUDA“ (CDG subsidiary) : developer CDG

• MoU
• Operational

Coordination Government bodies involved in the project

• Foreign Affairs Ministry
• Ministry of Justice
• Ministry of Interior
• Ministry of Equipment and

Transport

• Ministry of Trade and

Industry

• Ministry of Employment
• Ministry of General Affairs
• Ministry of Education
• General Secretariat of

Government CFC commission Presided by the Minister of Economy and Finance

• Treasury and External

Finance Director (DTFE)

• Department of Insurance

and Social Welfare Director (DAPS)

• One representative of the

Central Bank (BAM)

• CEO of the Moroccan

Capital Markets Authority (AMMC)

• Two representatives of CFC

Authority, including the CEO

APPENDIX 2: CFC – KEY STAKEHOLDERS

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APPENDIX 3: MOROCCO CONCLUDED MORE THAN 50 DOUBLE TAX TREATIES

 Spain  Swiss  UK  Ukraine

• 9 with the Middle East

 Bahrain  Jordan  Kuwait  Lebanon  Oman  Qatar  Syria  Turkey  UAE

• 2 with North America

 Canada  USA

1. Other conventions signed in the process of being ratified: Burkina Faso, Cameroun, Guinea Bissau, Mauritius, Sao Tomé & Principe, Ethiopia, and Rwanda

• 2. Algeria, Libya, Mauritania, Tunisia
• 27 with Europe

 Austria  Belgium  Bulgaria  Czech Republic  Croatia  Denmark  Finland  France  Germany  Greece  Hungary  Italy  Ireland  Latvia  Luxemburg  Macedonia  Malta  Netherlands  Norway  Poland  Portugal  Romania  Russia

• 7 with Africa - others being

signed or ratified1

 Arab Maghreb²  Egypt  Senegal  Gabon  Ivory Coast  Guinea Conakry  Mali

• 8 with Asia

 China  India  Indonesia  Malaysia  Pakistan  Singapore  South Korea  Vietnam

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APPENDIX 4: MOROCCO CONCLUDED FREE TRADE AGREEMENTS COVERING OVER 50

COUNTRIES IN US, EUROPE, MIDDLE EAST AND AFRICA

Another agreement has been signed and is in the process

• f being ratified with the West

African Economic and Monetary Union, including the following countries:

• 1. Benin
• 2. Burkina Faso
• 3. Ivory Coast
• 4. Guinea-Bissau
• 5. Mali
• 6. Niger
• 7. Senegal
• 8. Togo

Algeria Austria Bahrain Belgium Bulgaria Cyprus Czech Republic Denmark Egypt Estonia Finland France Germany Greece Hungary Iceland Iraq Ireland Italy Jordan Kuwait Latvia Lebanon Libya Liechtenstein Lithuania Luxembourg Malta Netherlands Norway Oman Palestine Poland Portugal Qatar Romania Saudi Arabia Slovakia Slovenia Spain Sudan Sweden Syria Tunisia Turkey United Arab Emirates United Kingdom United States Yemen

APPENDIX 5: DIRECT CONNECTIONS FROM CASABLANCA TO 32 DESTINATIONS

IN AFRICA

Note: domestic destinations are not included

... & 32 cities

• Abidjan
• Accra
• Algiers
• Bamako
• Bangui
• Banjul
• Bissau
• Brazzaville
• Cairo
• Conakry
• Cotonou
• Dakar
• Douala
• Freetown
• Kinshasa
• Lagos
• Libreville
• Lome
• Luanda
• Malabo
• Monrovia
• Nairobi
• Ndjamena
• Niamey
• Nouakchott
• Ouagadougou
• Pointe Noire
• Praia
• Sal Island
• Tripoli
• Tunis
• Yaoundé

Connections to 29 countries...

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Seychelles Rwanda Burundi United Republic of Tanzania Central African Rep. Djibouti Eritrea Sudan Chad Niger Libya Burkina Faso Tunisia Morocco Benin Mali Ghana Togo Guinea Mauritania Ivory Coast Liberia Sierra Leone Cameroon Equatorial Guinea Guinea-Bissau Gambia Senegal Cape Verde Congo DRC Gabon Namibia Malawi Zambia Zimbabwe South Africa Lesotho Botswana Mozambique Swaziland Mauritius Angola Egypt Ethiopia Kenya Madagascar Nigeria Réunion Somalia Uganda Algeria Casablanca

Already operational To be operational soon (Johannesburg)

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Between 3 to 5 hours flights Less than 3 hours flights

Montreal New York São Paulo Dubai Moscow

(6h30) (7 h) (8h) (5h30)

Luanda

(7 h)

Dakar Abidjan Libreville Accra Lagos Cairo London Paris Madrid Milan Lisbon CFC Frankfort

(9h)

APPENDIX 6: MOROCCO IS AT THE CROSSROADS OF THE CONTINENTS

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APPENDIX 7: FINANCIAL SECTOR LEADERSHIP IN AFRICA

WITH A PRESENCE IN 34 COUNTRIES

Algeria Morocco Chad Niger Eritrea CAR Nigeria Mali Senegal Togo Cameroon Somalia Djibouti Guinea Ivory Coast DRC Gabon Burkina Faso Ghana Equatorial Guinea Tanzania Mozambique Madagascar Namibia Kenya Malawi Zimbabwe Comoros Mauritius Sudan South Africa Lesotho Swaziland Zambia Angola Ethiopia Egypt Libya Congo Botswana Uganda

• Mali
• Burkina Faso
• Ivory Coast

Tunisia Niger

• Gabon
• Cameroon

Congo

• Togo
• Liberia
• Ghana
• Madagascar
• Kenya
• DRC
• Uganda
• Burundi
• Tanzania

Benin Angola

• Kenya
• Mauritius

Mauritania

Guinea

• Mauritania
• CAR

Senegal Libya

• Djibouti
• Ethiopia

A deeply rooted financial sector, with 4 major national players strongly committed to Africa

Egypt Rwanda

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APPENDIX 8: CFC APPLICATION PROCESS*

Official application Step 1 Step 5 Step 4 Application review within 45 days Letter of intent Assessment study by Casablanca Finance City Authority Creation of the entity (if applicable) Step 3 License (if applicable) Step 2

CFC Status granted

*: The procedure and documentation required for the CFC application process can be found on our site

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24 Casablanca Finance City Authority

Angle avenue des Tilleuls et allée des Abricotiers Quartier Hippodrome, Casablanca-Maroc Tél : +212 5 20 30 03 82 – Fax: +212 5 20 30 03 82 contact@cfca.ma – www.casablancafinancecity.com