Study Confirms the Impact of Public Support on Innovation Dynamics within Moroccan Companies
A recent study revealed that public support, despite its limited scope in Morocco, has a positive and tangible effect on research and development efforts within companies, significantly contributing to enhancing innovation dynamics and improving the performance of these production units.
The study, published in the scientific journal “Journal of Innovation Economics & Management” under the title “Public Support, Research and Development, and Innovation within Companies in Developing Countries: The Case of Morocco,” states that public funding strengthens Moroccan companies’ ability to engage in innovative development projects.
The research relied on data from a survey conducted by the World Bank in 2019, covering 1,096 Moroccan companies active in the industrial, trade, and services sectors, with comprehensive geographical coverage. It focused on assessing the determinants of access to financing and its actual impacts. Researchers employed four economic techniques in their analysis, including the Probit model to identify characteristics of companies that are more likely to receive support, and the propensity score matching (PSM) method to measure the direct causal effect of support on innovation, considering selection biases.
The study recommends expanding the beneficiary base of this type of support to include a larger number of small and medium-sized enterprises, which are often excluded from benefiting, despite having significant innovative capabilities. It also calls for encouraging the use of information and communication technology, improving human capital efficiency, and facilitating access for these companies to public support systems. The researchers emphasized that simplifying administrative processes and supporting projects at all stages remains one of the key conditions for the success of public policies related to innovation.
Survey data showed that only 13.3 percent of Moroccan companies allocate expenditures for research and development, reflecting a weak culture of innovation and limited utilization of available public resources by economic actors. The study concluded that adopting a comprehensive policy and integrated strategy would enhance the effectiveness of public interventions in the field of innovation and contribute to strengthening the competitiveness of the business fabric and enhancing national economic growth.
