How Morocco's answer to Volkswagen aims to drive economic prosperity


Nick Webster
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  • Arabic

The $20,000 Neo Motors jeep on show at Gitex Africa may not look much at first glance, but it is about to launch a new era of vehicle manufacturing in Morocco.

It is the only Moroccan car to be solely produced in the country and is set to become the pride of the nation – according to its developers.

Made from fibreglass, the vehicle is 100 per cent recyclable and is about to go into production this month ahead of a wider public sales launch later this year, after final approval from the National Agency for Road Safety in February.

This car has the potential to be the Volkswagen for Morocco
Nassim Belkhayat,
NEO Motors

Inspired by the all-terrain American jeeps of the 1940s, it takes just 40 hours to build a vehicle from scratch inside the company’s concept lab in Ain Aouda, a production site near Rabat.

“This car has been seven years in the making, with thinking, designing and creating a prototype,” said Nassim Belkhayat, chief executive of NEO Motors, who had no prior experience in the automotive industry before funding Morocco’s third car brand.

“It is the first Moroccan car that will be mass produced, so it is a dream for us, and all Moroccan people.”

  • The $20,000 Neo Motors jeep on show at Gitex Africa. All Photos: Neo Motors
    The $20,000 Neo Motors jeep on show at Gitex Africa. All Photos: Neo Motors
  • It is the only Moroccan car to be solely produced in the country and is set to become the pride of the nation.
    It is the only Moroccan car to be solely produced in the country and is set to become the pride of the nation.
  • Developers hope Neo Motors can break into the African market and offer a boost to the Moroccan economy.
    Developers hope Neo Motors can break into the African market and offer a boost to the Moroccan economy.
  • Neo’s $15 million production plant in Ain Aouda is expected to produce 27,000 a year once fully operational.
    Neo’s $15 million production plant in Ain Aouda is expected to produce 27,000 a year once fully operational.
  • The plant will create 600 jobs. Components for the Neo will be manufactured immediately to minimise costs.
    The plant will create 600 jobs. Components for the Neo will be manufactured immediately to minimise costs.

The compact, muscular crossover car costs about half the price of a Jeep Wrangler, and is also considerably more affordable than its competitors, such as the Suzuki Jimny.

A four-wheel drive version is in the pipeline, as well as a hybrid model that can be run on electricity.

Developers hope Neo Motors can break into the African market and offer a boost to the Moroccan economy.

Vehicle manufacturing is nothing new for Morocco, but it is the first time a home-grown developer has entered the market to mass-produce cars.

A Renault production facility in Casablanca has been operating since 1959, building about 80,000 cars a year.

Fiat and Stellantis also produce cars in the country, with national vehicle exports worth around $10 billion a year, making it Africa’s largest.

Neo’s $15 million production plant in Ain Aouda is expected to produce 27,000 a year once fully operational, and will create almost 600 jobs.

Components for the Neo are manufactured immediately to minimise costs and production times, and the car has a removable hardtop roof to take advantage of the Moroccan sunshine.

As Volkswagen became a symbol of German engineering and efficiency, it is hoped the Neo will carve out a similar path for Morocco.

“This car is reliable and secure, and has passed all the tests it has been put through,” said Mr Belkhayat.

“This car has the potential to be the Volkswagen for Morocco.”

Ferrari 12Cilindri specs

Engine: naturally aspirated 6.5-liter V12

Power: 819hp

Torque: 678Nm at 7,250rpm

Price: From Dh1,700,000

Available: Now

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Name: Hassan Mohsen Elhais

Position: legal consultant with Al Rowaad Advocates and Legal Consultants.

'How To Build A Boat'
Jonathan Gornall, Simon & Schuster

Conflict, drought, famine

Estimates of the number of deaths caused by the famine range from 400,000 to 1 million, according to a document prepared for the UK House of Lords in 2024.
It has been claimed that the policies of the Ethiopian government, which took control after deposing Emperor Haile Selassie in a military-led revolution in 1974, contributed to the scale of the famine.
Dr Miriam Bradley, senior lecturer in humanitarian studies at the University of Manchester, has argued that, by the early 1980s, “several government policies combined to cause, rather than prevent, a famine which lasted from 1983 to 1985. Mengistu’s government imposed Stalinist-model agricultural policies involving forced collectivisation and villagisation [relocation of communities into planned villages].
The West became aware of the catastrophe through a series of BBC News reports by journalist Michael Buerk in October 1984 describing a “biblical famine” and containing graphic images of thousands of people, including children, facing starvation.

Band Aid

Bob Geldof, singer with the Irish rock group The Boomtown Rats, formed Band Aid in response to the horrific images shown in the news broadcasts.
With Midge Ure of the band Ultravox, he wrote the hit charity single Do They Know it’s Christmas in December 1984, featuring a string of high-profile musicians.
Following the single’s success, the idea to stage a rock concert evolved.
Live Aid was a series of simultaneous concerts that took place at Wembley Stadium in London, John F Kennedy Stadium in Philadelphia, the US, and at various other venues across the world.
The combined event was broadcast to an estimated worldwide audience of 1.5 billion.

THE SPECS

Engine: 3-litre V6

Transmission: eight-speed automatic

Power: 424hp

Torque: 580 Nm

Price: From Dh399,000

On sale: Now

Avatar: Fire and Ash

Director: James Cameron

Starring: Sam Worthington, Sigourney Weaver, Zoe Saldana

Rating: 4.5/5

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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The specs: 2018 Infiniti QX80

Price: base / as tested: Dh335,000

Engine: 5.6-litre V8

Gearbox: Seven-speed automatic

Power: 400hp @ 5,800rpm

Torque: 560Nm @ 4,000rpm

Fuel economy, combined: 12.1L / 100km

TECH%20SPECS%3A%20APPLE%20WATCH%20SERIES%208
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Updated: June 02, 2023, 10:42 AM