Studies

The study provides a snap shot of the current status quo in Egypt, Jordan, Morocco and Tunisia regarding the development of their private sectors, with a focus on micro, small and medium enterprises. It will be used as a baseline for the definition of a robust research agenda that ultimately aims at providing sound recommendations for policy makers to improve developmental outcomes and, especially, the contribution of micro, small and medium enterprises to employment creation.

The Southern Mediterranean region is economically closely linked to the EU. Both regions have sought to tighten this relationship via preferential trade agreements. Along four case countries, namely Egypt, Jordan, Morocco and Tunisia, this study provides an overview of the current state and trend of trade flows vis-à-vis the EU. The four country reports evaluate the process of trade liberalization and its impact on trade with the EU and the rest of the world. Recently, liberalisation efforts have been channeled into the Deep and Comprehensive Free Trade Agreements (DCFTAs), which focus on non-tariff barriers and investment obstacles. The study emphasises that while impact assessment reports predict large economic gains for the Southern Mediterranean region from DCFTAs, negotiation have lately slowed down. The DCFTAs may have a large potential but the right sequencing and velocity need to be carefully established and prepared to ensure that the society at large benefits.

This paper provides a survey of the institutional environment in which labour markets in Egypt, Jordan, Morocco and Tunisia are embedded. The paper presents an overview of the main recent demographic and employment trends. It then provides a comprehensive analysis of those sections in the constitutions of the four countries and of the various labour laws and regulations that are relevant for employment and social justice. In addition, the paper explores the role of informal institutions and practical norms in shaping the behaviour of employers and employees, and highlights the problem of the weak capacity of the state to enforce labour market rules.