Morocco: The AfDB Allocates $487 Million to Support Economic Reforms and Climate Resilience
African Development Bank Approves $487 Million Funding for Morocco
The Board of Directors of the African Development Bank (AfDB) approved a funding package of $487 million for Morocco on Wednesday in Abidjan. This financial support aims to accelerate structural reforms, promote inclusive growth, and strengthen the resilience of the national economy in the face of economic and climatic shocks.
This funding is part of the third phase of the Program to Support Economic Governance and Climate Change Resilience (PGRCC). It specifically seeks to enhance the role of the private sector in investment and value creation, while refocusing the government’s actions on its strategic missions.
The first component of the initiative is dedicated to improving the effectiveness of public action. This includes restructuring the portfolio of public enterprises, modernizing the framework for public-private partnerships, and enhancing the business climate with the goal of fostering private investment, supporting small and medium-sized enterprises (SMEs), and boosting innovation as well as Morocco’s integration into global value chains.
The second component addresses climate and energy resilience. It aims to modernize the governance of the water and electricity sectors, more deeply integrate climate issues into public policies, and accelerate the transition to a low-carbon economy.
The operation also intends to assist the Kingdom in managing the repercussions of the crisis in the Middle East, particularly the rising costs of energy and transportation. It is expected to help preserve budgetary flexibility and prioritize expenditures, while maintaining the momentum of reforms and investment.
Since 1978, the AfDB has mobilized nearly €15 billion for over 150 projects in Morocco, covering sectors such as transport, energy, water and sanitation, agriculture, and social protection.
