Moroccan Trade Sector Calls for Recovery Plan Amid COVID-19 Crisis

"Almost all the sectors severely affected by Covid-19 are taken into account in the supplementary finance law, with the exception of trade and franchising," laments Mohammed El Fane, president of the Moroccan Federation of Franchising (FMF), who notes that no recovery plan is planned for his sector, reports Aujourd’hui le Maroc.

For him, the sector needs "support measures to resume activities". In this sense, the FMF has made a series of recommendations to the government in order to preserve jobs and reduce the effects of the Covid-19 crisis on activities.

First, it proposes to revise the method of calculating local taxes and allow business leaders to "pay by installment and without penalties", as well as a 50% deduction on taxes due, between 2020 and 2021, and an acceleration of the implementation of administrative reforms following the supplementary finance law.

Next, the issue of rent is a concern for the FMF, which proposes to stay the eviction procedures of merchants for non-payment of rent for a period of one year. Part of the rents could be borne by the State and the private landlord during this period, specifies the Federation, which invites the government to set up, in collaboration with the insurance companies, a rental indemnity.

Finally, the FMF proposes to ease the conditions for granting financing and credit guarantees, to facilitate their access by a large number of companies. "It would be interesting for companies with outstanding payments (and out of litigation) to be able to benefit from the Damane Relance loan," says the president of the FMF.