Maghreb pushes for stability
24 July 2025
Commentary
John Bambridge
Analysis editor
The Maghreb region continues to prioritise political stability as a foundation for long-term economic development, with Morocco emerging as a frontrunner in aligning its governance with investor expectations.
Trade disruptions and fluctuating commodity prices have impacted the recent growth trajectories of the Maghreb markets, yet signs of resilience are evident as governments pivot towards diversified industrial strategies.
Morocco’s regulatory reforms and infrastructure upgrades are proving to be an effective lure for foreign investment. The country’s steady stock market performance, despite external pressures, reflects this underlying confidence and highlights Rabat’s relative resilience within the region.
Another key driver in Morocco is the infrastructure investment ahead of the 2030 Fifa World Cup. As a host nation, Morocco is undertaking projects to deliver new stadiums and improve transport networks. This momentum is expected to ripple through the construction and tourism sectors, bolstering GDP growth – projected at 3.9% in 2025 – and job creation.
Algeria is meanwhile accelerating its efforts to develop higher-value manufacturing to leverage its abundant natural resources. Through investment-friendly reforms and new laws, recent policies are laying the groundwork for a strengthened private sector and an investment environment that can boost employment and deliver long-term industrial growth.
In Libya, despite persistent political fragmentation and instability, international interest in the oil sector is returning as production has recovered to its highest level in a decade. This presents a rare bright spot for the Libyan economy, but sustained gains will require lasting political stability and security.
Tunisia, meanwhile, continues to grapple with economic and political fragility. Incremental government progress is being made in securing international financial support and pursuing structural reforms, and investment in sectors such as tourism and renewable energy is gaining cautious traction. But social and political stability is a must if the country is going to escape its current economic stagnation and stimulate renewed growth.
Energy and power are key sectors for the Maghreb as a whole, and the region has a burgeoning pipeline of projects in both – with an emphasis on renewables and green hydrogen. A weak start to project activity in 2025 leaves the hope that the region might better deliver on its potential in the second half.
Overall, despite its economic and political challenges, rising energy demand and the proximity of European markets present clear opportunities for the Maghreb and chart a potential path forward for growth and investment – lending cautious optimism to the region’s future.
MEED’s August 2025 report on the Maghreb includes:
> GOVERNMENT: Pursuit of political stability dominates Maghreb
> ECONOMY: Maghreb economies battle trading headwinds
> OIL & GAS: Oil company interest in Libya increases
> INDUSTRY: Algeria’s industrial strategy builds momentum
> POWER & WATER: Slow year for Maghreb power and water awards
> CONSTRUCTION: World Cup 2030 galvanises Morocco construction
> DATABANK: Maghreb economies stabilise
Register for MEED's guest program now to access this article.
Exclusive from Meed
-
Kuwait approves major petchems project3 October 2025
-
SWPC names preferred bidder for Jizan sewage project3 October 2025
-
Three teams bid for Baghdad airport PPP3 October 2025
-
Qatari-led team signs Syria airport consultancy agreements3 October 2025
-
Saudi Arabia maintains growth momentum3 October 2025
All of this is only 1% of what MEED.com has to offer
Subscribe now and unlock all the 153,671 articles on MEED.com
- All the latest news, data, and market intelligence across MENA at your fingerprints
- First-hand updates and inside information on projects, clients and competitors that matter to you
- 20 years' archive of information, data, and news for you to access at your convenience
- Strategize to succeed and minimise risks with timely analysis of current and future market trends
Related Articles
-
Kuwait approves major petchems project
3 October 2025
State-owned Kuwait Petroleum Corporation (KPC) has given its subsidiary Petrochemical Industries Company (PIC) preliminary approval to proceed with negotiations with a potential partner for its planned olefins plant in the country.
The project, known as Olefins IV, is estimated to be worth $500m, according to MEED Projects.
The latest approval from KPC for the project comes after the availability of the necessary feedstock for the project was confirmed, according to KPC’s most recent annual report.
In July, MEED reported that feasibility studies for the project had been completed, but PIC was waiting for confirmation of the volumes of gas that would be available for the project as feedstock.
The Olefins IV project is expected to use natural gas produced by upstream operator Kuwait Oil Company (KOC), another KPC subsidiary.
There is currently uncertainty at PIC about when the front-end engineering and design work for the project will commence, according to industry sources.
As part of PIC’s long-term strategy, which looks ahead to 2040, it is aiming to scale up its portfolio and leverage partnerships to add value.
The company has stated that it aims to expand its core portfolio both within and outside Kuwait through greenfield and brownfield projects, with the goal of achieving a leading global position.
It has also said that it wants to expand into downstream derivatives linked to its base petrochemicals portfolio.
Chinese chemicals
Earlier this year, Wanhua Chemical Group Company signed an equity subscription agreement in which PIC subscribed to a 25% equity stake in selected petrochemical assets of Wanhua Chemical in Yantai, China.
Olefins are a class of petrochemicals made up of hydrogen and carbon, with one or more pairs of carbon atoms linked by a double bond. Two of the most important are ethylene and propylene.
Olefins are widely used as raw materials in the manufacture of chemicals and polymer products, such as plastics, detergents, adhesives, rubber and food packaging.
READ THE OCTOBER 2025 MEED BUSINESS REVIEW – click here to view PDFPrivate sector takes on expanded role; Riyadh shifts towards strategic expenditure; MEED’s 2025 power developer ranking
Distributed to senior decision-makers in the region and around the world, the October 2025 edition of MEED Business Review includes:
> AGENDA 1: A new dawn for PPPs> AGENDA 2: GCC pushes PPPs to deliver $70bn pipeline> POWER DEVELOPER RANKING: Acwa Power consolidates power sector dominance> IPPs: GCC enters pivotal year for IPPs> ACQUISITION: Wood takeover could boost Sidara profits> INTERVIEW: SLB strives to boost regional standing> SAUDI MARKET FOCUS: Riyadh strives for sustainable growthTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/14789678/main3336.gif -
SWPC names preferred bidder for Jizan sewage project
3 October 2025
Saudi Water Partnership Company (SWPC) has announced its preferred bidder for the Jizan Cluster Small Sewage Treatment Plants (SSTP) and Collection Network (CN) project.
AlKhorayef Water & Power Technologies, part of Saudi Arabia-based AlKhoraef Group, is the favourite to win the contract to develop the project under a 25-year contract.
The $150m scheme involves the construction of 12 sewage treatment plants across the Jizan region in the southwestern part of the kingdom. The plants will have a combined treatment capacity of 74,700 cubic metres a day (cm/d), with individual plant capacities ranging between 1,800 and 15,000 cm/d.
The scheme also involves laying 166 kilometres of collection pipelines, tanker discharge points and effluent connections.
According to SWPC, it is the first project of its kind integrating sewage treatment plants with collection networks under private sector participation.
Earlier this year, Alkhorayef Water & Power Technologies Company won the contract to operate and maintain four water treatment plants in Saudi Arabia.
The water treatment plants are located in Wadi Aldawaser, Alsalil, Alsafa in Najran and Alwajid.
READ THE OCTOBER 2025 MEED BUSINESS REVIEW – click here to view PDFPrivate sector takes on expanded role; Riyadh shifts towards strategic expenditure; MEED’s 2025 power developer ranking
Distributed to senior decision-makers in the region and around the world, the October 2025 edition of MEED Business Review includes:
> AGENDA 1: A new dawn for PPPs> AGENDA 2: GCC pushes PPPs to deliver $70bn pipeline> POWER DEVELOPER RANKING: Acwa Power consolidates power sector dominance> IPPs: GCC enters pivotal year for IPPs> ACQUISITION: Wood takeover could boost Sidara profits> INTERVIEW: SLB strives to boost regional standing> SAUDI MARKET FOCUS: Riyadh strives for sustainable growthTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/14792764/main.jpg -
Three teams bid for Baghdad airport PPP
3 October 2025
Three consortiums have submitted bids for a contract to develop Baghdad International airport on a public-private partnership (PPP) basis.
The scope of the estimated $400m-$600m project involves rehabilitating, expanding, financing, operating and maintaining the airport. It is the first airport PPP project to be launched in Iraq.
Iraq’s Ministry of Transport and General Company for Airport & Air Navigation Services released the tender in July this year.
According to sources, the bidding consortium are:
- Asyad Holding / Top International Engineering Corporation / Lamar Holding / YDA Insaat / Dublin Airport Authority (Saudi Arabia/Saudi Arabia/Saudi Arabia/Turkiye/Ireland)
- Corporacion America Airports / Amwaj International (Luxembourg/Iraq)
- ERG International / Terminal Yapi / ERG Insaat (UK/Turkiye/Turkiye)
According to a statement posted on its website, the Ministry of Transport says the initial capacity of the airport is expected to be around 9 million passengers, which will be gradually increased to 15 million passengers.
The International Finance Corporation (IFC), a member of the World Bank Group, is the project’s lead transaction adviser.
In August, MEED reported that Iraqi Prime Minister Mohammed Al-Sudani had met with companies bidding for the contract to develop Baghdad International airport.
The meeting took place in Baghdad and was also attended by officials from IFC.
READ THE OCTOBER 2025 MEED BUSINESS REVIEW – click here to view PDFPrivate sector takes on expanded role; Riyadh shifts towards strategic expenditure; MEED’s 2025 power developer ranking
Distributed to senior decision-makers in the region and around the world, the October 2025 edition of MEED Business Review includes:
> AGENDA 1: A new dawn for PPPs> AGENDA 2: GCC pushes PPPs to deliver $70bn pipeline> POWER DEVELOPER RANKING: Acwa Power consolidates power sector dominance> IPPs: GCC enters pivotal year for IPPs> ACQUISITION: Wood takeover could boost Sidara profits> INTERVIEW: SLB strives to boost regional standing> SAUDI MARKET FOCUS: Riyadh strives for sustainable growthTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/14792768/main.jpg -
Qatari-led team signs Syria airport consultancy agreements
3 October 2025
Register for MEED’s 14-day trial access
A consortium led by Qatar’s UCC Holding has signed five consultancy and design agreements for the redevelopment of Damascus International airport in Syria.
UCC Holding said in a statement that the agreements were signed with the following companies:
> Hesco Hammada Engineering Services: Responsible for the design and redevelopment of Terminals 1 and 2, the design of the new Terminal 3 and all associated facilities.
> H’Collective: Responsible for the architectural and interior design of the new Damascus Airport hotel.
> Dar Al-Handasah: Will serve as the Project Management Office (PMO), responsible for site supervision, design review and approval, oversight of design development, schedule verification, interim payments, and ensuring quality, safety and timely delivery. The scope also covers the study to upgrade the Damascus Airport road.
> DG Jones & Partners: Responsible for contract management, cost control and quantity surveying for the project.
> Joint venture of Elegancia Catering and Newrest Gulf: Will oversee the design and operation of the airport’s central kitchen and in-flight catering facilities.
In August, Syria’s General Authority of Civil Aviation signed a $4bn memorandum of understanding (MoU) to develop and expand Damascus International airport with a consortium of international firms led by Qatar’s UCC Holding.
The agreement designates UCC Holding as the primary developer – through its investment arm, UCC Concessions Investment – alongside three Turkish partners: Cengiz, Kalyon and TAV, and US-based Assets Investments USA.
The project will be implemented under a build-operate-transfer (BOT) model and includes the expansion of Damascus International airport in five phases.
The expansion will ultimately increase the airport’s capacity to handle 31 million passengers annually.
The agreement also includes the construction of a 50-kilometre access road to the airport and $250m in financing to purchase up to 10 Airbus A320 aircraft for Syrian Airlines.
READ THE OCTOBER 2025 MEED BUSINESS REVIEW – click here to view PDFPrivate sector takes on expanded role; Riyadh shifts towards strategic expenditure; MEED’s 2025 power developer ranking
Distributed to senior decision-makers in the region and around the world, the October 2025 edition of MEED Business Review includes:
> AGENDA 1: A new dawn for PPPs> AGENDA 2: GCC pushes PPPs to deliver $70bn pipeline> POWER DEVELOPER RANKING: Acwa Power consolidates power sector dominance> IPPs: GCC enters pivotal year for IPPs> ACQUISITION: Wood takeover could boost Sidara profits> INTERVIEW: SLB strives to boost regional standing> SAUDI MARKET FOCUS: Riyadh strives for sustainable growthTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/14792862/main.jpg -
Saudi Arabia maintains growth momentum
3 October 2025
MEED’s October 2025 special report on Saudi Arabia includes:
> COMMENT: Riyadh strives for sustainable growth
> GOVERNMENT: Riyadh confronts rising regional chaos
> ECONOMY: Riyadh looks to adjust investment approach
> BANKING: New funding sources solve Saudi liquidity challenge
> OIL & GAS: Aramco turns attention to strategic projects
> GAS: Saudi Arabia and Kuwait accelerate Dorra gas field development
> POWER: Saudi Arabia accelerates power transformation
> WATER: Transmission projects drive Saudi water sector growth
> CONSTRUCTION: Saudi construction pivots from gigaprojects to events
> TRANSPORT: Infrastructure takes centre stage in Saudi strategy
> DATABANK: Saudi Arabia maintains growth momentumTo see previous issues of MEED Business Review, please click herehttps://image.digitalinsightresearch.in/uploads/NewsArticle/14792997/main.gif