Morocco Receives Second-Most EIB Funding in North Africa
The European Investment Bank injected €2.5 billion to support the development of Morocco’s economy over the past five years.
Rabat – Morocco is the second-largest recipient of investments from the European Investment Bank (EIB), according to the Vice-President of the European Investment Bank (EIB) in Morocco, Ricardo Mourinho Felix.
Speaking at a press conference in Rabat on Wednesday, Felix shed light on the significant support the EIB is providing for Morocco, recalling that the bank injected €2.5 billion to support the development of Morocco’s economy over the past five years.
Between 2017 and 2022, EIB’s investment in Morocco has been gaining traction, with EIB investment doubling between 2021 and 2022, Felix explained.
Vice-President of the European Investment Bank (EIB) in Morocco, Ricardo Mourinho Felix, speaking at a press conference in Rabat
In a statement, the EIB says that it is focusing on key sectors of the Moroccan economy, €222 million invested in 2022 in sustainable and low-carbon transport in Morocco.
In addition to funding low-carbon projects, EIB dedicated around 40% of its financing in Morocco to Small and Meduim-Sized Enterprises (SMEs), 20% to renewable energy, 19% to sustainable transport, and 16% to health and education.
In 2022, the EIB injected more than €381 million into the Moroccan economy, 50% of which was dedicated to structuring projects in the environment, renewable energy, and energy efficiency.
According to the bank, the investments help to strengthen Morocco’s energy independence, reduce greenhouse gas emissions and support the development of a greener and more sustainable economy.
“We have accelerated the implementation of our projects in Morocco in all our business sectors. We have worked closely with our partners on the ground to make financial and human resources available to support the Kingdom’s development even more strongly,” Felix said while presenting the bank’s work in Morocco.
Noting the bank’s investment strategy for 2023, Felix said that through a newly established institution EIB Global, and the bank will continue to strengthen “its local, regional, and international partnerships to support projects with a high economic and social impact for the benefit of all Moroccans.”
The EIB in Morocco
In 2022, the EIB financed Morocco’s rail company Office National des Chemins de Fer (ONCF) with a €200 million loan. The financing project was the first to be signed under the new Green Partnership initiative with Morocco.
The investment aims to support Morocco’s transition to low-carbon sustainable mobility, while promoting territorial equity in terms of access to rail services.
Throughout the project, the EIB will support ONCF in consolidating its climate adaptation roadmap with is in line with the objectives of the Paris Climate Agreement.
In 2022, the European bank also launched the Trade and Competitiveness Programme, a program that is developed by the EIB with the financial support of the European Union (EU) and aims to boost the competitiveness of Morocco’s SMEs.
Under an investment of €8 million to the Banque Centrale Populaire (BCP), a Moroccan bank, the EIB supported BCP to issue loans for exporting SMEs that are conventionally deemed as high-risk.
Through the deal, BCP will be able to issue an additional €50 million for Moroccan exporting SMEs. The EIB will also provide all its technical and financial expertise in decarbonization, productivity, and digitalization to support the project.
Source: mwn
