Morocco's strategic location has shaped its history. Beginning with the Phoenicians, many foreigners were drawn to this area. Romans, Vandals, Visigoths, and Byzantine Greeks successively ruled the area. Muslim and Arab forces began their conquest of Morocco in the seventh century A.D., bringing their civilization and Islam. Several dynasties, both Arab and Berber (Amazigh), have reigned in Morocco. The current dynasty, the Alaouite, has ruled Morocco since 1649.
Morocco's location and resources led to early competition among European powers in Africa, beginning with successful Portuguese efforts to control the Atlantic coast in the 15th century. France showed a strong interest in Morocco as early as 1830. Following recognition by the United Kingdom in 1904 of France's "sphere of influence" in Morocco, the Algeciras Conference (1906) formalized France's "special position" and entrusted policing of Morocco to France and Spain jointly. The Treaty of Fez (1912) made Morocco a protectorate of France. By the same treaty, Spain assumed the role of protecting power over the northern and southern (Saharan) zones.
Nationalist political parties, which subsequently arose under the French protectorate, based their arguments for Moroccan independence on such World War II declarations as the Atlantic Charter (a joint U.S.-British statement that set forth, among other things, the right of all people to choose the form of government under which they live). A manifesto of the Istiqlal (Independence) Party in 1944 was one of the earliest public demands for independence. That party subsequently provided most of the leadership for the nationalist movement.
France's exile of the highly respected Sultan Mohammed V in 1953 and his replacement by the unpopular Mohammed Ben Aarafa, whose reign was perceived as illegitimate, sparked active opposition to the French protectorate. France allowed Mohammed V to return in 1955, and the negotiations that led to Moroccan independence began the following year.
The Kingdom of Morocco recovered its political independence from France on March 2, 1956. Through agreements with Spain in 1956 and 1958, Moroccan control over certain Spanish-ruled areas was restored. The internationalized city of Tangier was reintegrated with the signing of the Tangier Protocol on October 29, 1956. The Spanish enclave of Ifni in the south became part of Morocco in 1969. Morocco took control of its Saharan zones in 1975 after the Spanish army left the area. Soon after, the southern parts of Morocco were attacked by the Polisario Front which is mainly supported and equipped by Algeria. The United Nations which brokered a ceasefire in 1991 is still attempting to find a peaceful solution to the conflict. To this date, Spain occupies the small enclaves of Ceuta and Melilla and other small islands in the north of Morocco. Armed conflict was avoided when Morocco tried to reclaim the tiny island of Leila.
Morocco faces the problems typical of developing countries - restraining government spending, reducing constraints on private activity and foreign trade, and achieving sustainable economic growth. Following structural adjustment programs supported by the IMF, World Bank, and the Paris Club, the dirham is now fully convertible for current account transactions, and reforms of the financial sector have been implemented. Droughts depressed activity in the key agricultural sector and contributed to a stagnant economy in 1999 and 2000. During that time, however, Morocco reported large foreign exchange inflows from the sale of a mobile telephone license and partial privatization of the state-owned telecommunications company. Favorable rainfall in 2001 led to a growth of 5%. Formidable long-term challenges include: servicing the external debt; preparing the economy for freer trade with the EU; and improving education and attracting foreign investment to boost living standards and job prospects for Morocco's youth.
