Westerners are increasingly choosing the Maghreb for retirement

14/08/2006

A growing number of retirees are finding greater affordability, among other benefits, by retiring in Tunisia or Morocco. The Tunisian government is in the process of granting more incentives to such people to realise the kind of economic boon seen in Morocco.

By Jamel Arfaoui for Magharebia in Tunis – 14/08/06

[File] The pleasant climate of Tunisia is one of the draws for Western retirees such as Italian, Lou Tracou

Morocco and Tunisia are becoming increasingly popular retirement destinations for foreigners from all over the world and all income levels because of the mild climate, low prices, variety of activities, proximity to Europe, and political stability.

Patricia Patrina did not expect to retire in Tunisia until she travelled to the south of the country ten years ago. "The nature, moderate climate, ease of life and goodness of the people are all factors that helped me make this difficult decision, which I became convinced was the right one over time," she said

Patrina's story is similar to many other Europeans who decided to retire in Tunisia. They cite the friendly people in a quasi-secular coastal country, the ease of blending in and the low cost of living compared to Europe.

"Since I decided to immigrate to Tunisia immediately after retiring, my health has improved. I don't go to doctors very often and my income covers my needs and more -- to the extent that I can save -- something impossible if I had stayed in France," noted 65-year-old Daniel Loubti.

The low cost of healthcare, along with the many treatment centres with natural water baths, also draws retirees to Tunisia.

Simone Denis, who settled in Tunisia three years ago, said, "My pension in France was not enough to cover gas, electricity, and medical bills. Now things are different. I enjoy more massage and natural water baths than I could have ever have dreamed of before."

Housing in Tunisia costs between 30,000 and 150,000 dinars for an apartment and between 150,000 and 500,000 dinars for a villa, depending on location and amenities.

According to the 2004 census, 10,696 citizens of EU countries have permanent residence in Tunisia, 20 per cent of whom are above age 45.

The French Consulate in Tunis reports that around 354 retirees have settled in Tunisia, with 200 residing in the capital and the rest divided between the cities of Sousse and Nabeul.

Jilani Dabousi, a legislative representative and head of the Tabarka coastal municipality, expects a greater economic opportunity for Tunisia as the number of Europeans retiring in the country is predicted to double. In 2010, the number of European retirees will likely reach around 60 million.

"We need to amend our domestic laws to fit with the new reality," Dabousi said, adding, "We need to amend the Property Law with regards to foreigners."

During a session of the Higher Tourism Council on 9 July, Prime Minister Mohamed Ghannouchi said the government is reviewing the necessary legislation regarding property rights for Europeans in Tunisia, which could make it possible for them to own property within days of application. Currently, the waiting period lasts months and sometimes years.

Italian retiree Lou Tracou, who has resided in Tunisia for several years, is waiting for Tunisian laws to change so he can own his home. "I'm not the only Italian awaiting such a decision. I know several Italian friends wishing to settle in Tunisia for good," he said.

Tourism Minister Tijani Haddad announced that the ministry has formed a committee to encourage European retirees to take up residence in Tunisia by offering tax incentives.

In Morocco, Western residents are free from double taxation and have the right to own property without complications. Foreign retirees number around 45,000 and pay only 10 per cent taxes on their income, rather than the 40 per cent they would pay living in their home countries.

For now, Morocco is ahead of Tunisia in terms of attracting foreign retirees.

Morocco has become extremely popular in the past five years with people looking to enjoy the country's charm. Marrakech is the most popular destination, followed by Rabat.

While most Western senior citizen residents in the Maghreb are from France, an increasing number of retirees are from Britain, the United States, Scandinavia and Japan, says Laurent Paul Alteresco. The 41-year-old Frenchman has run Ramses

Consulting with his Moroccan wife Ilham since 1997. They provide information to those wishing to retire in Morocco.

Alteresco feels the Moroccan retirement trend is just beginning and predicts that buying property will be the real estate investment equivalent of buying on the French Riviera 30 years ago.

"When we first started, we only had about 15 couples as clients. Now we consult hundreds per year," says Alteresco.

"As soon as people begin to understand the Moroccan philosophy of hospitality, generosity and the rich culture, it is easy to live there," he says, adding, "It's the same way all over the world: adapting to the local mentality makes living there easier."

When asked whether he will retire in Morocco, Alteresco laughed and said, "Of course, I would like to do that. My wife is from Rabat and my son was born there too. But I'm not ready to retire yet. I still have a lot of work to do in helping others retire in Morocco."