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Driving Industrialization in Africa? The Impact of Industrial Policy on Moroccan Industry

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  • Josh Matti

Abstract

Can industrial policy reverse deindustrialization in Africa? This paper utilizes the synthetic control method (SCM) to investigate this question, focusing on the impact of industrial policies on industrialization in Morocco. The findings reveal a substantial positive impact of industrial policy on aerospace and automotive export value during the post‐intervention period (2009–2021). These industrial developments are further substantiated by their statistical significance as confirmed through placebo tests and pseudo p‐values. However, the role of industrial policy in Moroccan agro‐industry, electronics, and textile sectors as well as Morocco's overall industrial sector is less evident. These results contribute to the understanding of industrialization in Africa and hold implications for other African nations considering industrial policy interventions.

Suggested Citation

  • Josh Matti, 2025. "Driving Industrialization in Africa? The Impact of Industrial Policy on Moroccan Industry," South African Journal of Economics, Economic Society of South Africa, vol. 93(4), pages 452-464, December.
    • Handle: RePEc:bla:sajeco:v:93:y:2025:i:4:p:452-464
    DOI: 10.1111/saje.70006
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