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An Islamist approach to economic policymaking is increasingly becoming a major policy concern as more Islamist parties secure governing roles. Rising to government in 2011 following the Arab Spring protests, Morocco’s Party of Justice and Development (PJD) offers a rare opportunity to evaluate an Islamist party’s approach to the economy that stands against its own policies. We answer two interrelated questions to this end. First, how has the PJD’s economic policymaking evolved since the party’s ascent to power? Second, what kinds of challenges did the PJD face in a political system shaped by monarchical dominance? The PJD has pursued a neoliberal approach to economic policy combined with social welfare programs for those hurt by these policies. Signs of conflict between these dual priorities demonstrate that the party and its electorate are not unified in their approaches to economic policy. Morocco’s stalled economic progress after 2011 is partly explained by the power dynamic between King Mohamed VI and the PJD. While the two share economic policy interests, the success of a PJD-led government potentially raises serious political and economic implications for the regime. The monarchy has therefore used its control of formal institutions to effectively limit the policymaking tools at the party’s disposal and its freedom to formulate policy. These constraints have profoundly affected the PJD’s ability to govern. The party navigated these constraints with a “dual strategy” of appealing to both the monarchy and the electorate, as well as pivoting from economic improvement to effective governance. The PJD’s experience with governance and economic policymaking carries key implications for other Islamist parties in the MENA region, which face similar constraints on policy formulation.
