Morocco: KfW Grants a €100 Million Loan to Strengthen National Water Management Strategy
The German Development Bank (KfW) has granted Morocco a €100 million loan aimed at supporting the implementation of the national water management strategy. This financing seeks to bolster institutional reforms and several priority investments to enhance the Kingdom’s water security in the face of climate change effects and dwindling water resources.
Disbursement of the funds is expected between the fourth quarter of 2026 and the fourth quarter of 2028.
Accelerating the Transition to Sustainable Water Management
This financing aligns with the national strategy to ensure sustainable water supply by 2030. Beyond constructing dams, Morocco is now focusing on an integrated approach that emphasizes the development of seawater desalination, modernization of agricultural irrigation systems, and strengthening governance in the sector.
The objective is to improve the country’s resilience to recurring droughts, declining rainfall, and increasing pressure on water resources.
Desalination and Irrigation at the Heart of Investments
A key priority is the acceleration of the national desalination program, with the aim of making desalination a major source of potable water in the coming years.
The financing will also contribute to modernizing agricultural irrigation systems, the sector that remains the largest consumer of water in Morocco. Additionally, it will support the development of hydraulic infrastructure, particularly interconnections between basins and water transfers to better distribute resources across regions.
Reuse of Wastewater and Improving Access to Water
The program also includes measures to enhance access to drinking water in rural areas, reduce territorial disparities, and strengthen the resilience of regions most exposed to water stress.
The development of treated wastewater reuse represents another strategic focus. This solution will help supply green spaces, industrial areas, golf courses, or certain agricultural operations, while preserving drinking water resources and aquifers.
A Reform of Water Governance
Beyond investments, the loan will support the modernization of water sector governance. The planned reforms aim to improve coordination among various institutions, enhance investment planning, and further integrate climate concerns into public policies to anticipate risks associated with water shortages.
Through this financing, Morocco is advancing its sustainable water management strategy, with the goal of enhancing the country’s water security and adapting its infrastructure to the climate challenges of the coming decades.
