
This article is part of a series produced in partnership with the African Development Bank to celebrate its sixtieth anniversary. For more information about the Bank’s history and its initiatives across the continent, please visit our dedicated portal.
Morocco has positioned itself as the foremost beneficiary of the Africa Investment Forum (AIF), following the unveiling of a strategic plan by its railway operator, ONCF, aimed at improving services with a total investment of $8.8 billion. The initiative attracted interest from investors totaling $14 billion, as highlighted by African Development Bank President Akinwumi Adesina, who described it as a “significant success” for Morocco during a press briefing at the conclusion of the forum in Rabat.
Adesina also announced a potential $650 million loan for Morocco, which is pending approval from the Bank’s board. This funding is earmarked to support the expansion of rail and airport transport infrastructure in anticipation of the World Cup, which Morocco will co-host with Spain and Portugal.
A multitude of agreements
During the Africa Investment Forum (AIF) in Rabat, Morocco and the African Development Bank formalized three agreements valued at nearly €350 million. These agreements further solidify the Bank’s enduring partnership with the Kingdom, which has spanned more than 50 years and encompasses key sectors such as health, human development, water, agriculture, energy, transportation, and finance.
The first loan agreement, amounting to €120 million, is intended to finance the Support Programme for Enhancing Economic Governance and Resilience to Climate Change. This program aims to facilitate critical economic and sector governance reforms, particularly in the ongoing restructuring of state-owned enterprises.
The second agreement, valued at €104.7 million, will be directed towards a project focused on digitizing water management. This initiative is set to improve technical performance across various Moroccan regions and urban centers, ensuring the Kingdom preserves a high quality of life for its rapidly urbanizing populace.
The third agreement allocates €120 million for the development of an industrial park at the port of Nador West Med. This project is designed to expand and diversify Morocco’s port capabilities, strengthening its role as a central industrial logistics hub and promoting economic and social progress in the eastern region. It will also facilitate the creation of economic zones and industrial and logistical units within the port.
The signing ceremony was attended by the President of the African Development Bank Group, Akinwumi Adesina, and Nadia Fettah, the Minister of Economy and Finance of Morocco, alongside other senior officials from both the Bank and the Moroccan government.
Fettah praised the AIF for its vital role in driving investment for both her country and the broader African continent.
“It acts as a crucial catalyst and stands out as a successful and unique platform for investment, propelling Africa’s transformation forward. Investors gathered in Rabat to explore, identify, and invest in feasible projects, affirming that Africa is ready for business,” she stated.
Strong collaboration
During the AIF, Morocco’s Head of Government, Aziz Akhannouch, engaged with President Adesina to explore ways to strengthen the successful partnership between Morocco and the Bank.
Adesina highlighted that Morocco is the largest recipient of the Bank’s investments, boasting a financial portfolio valued at $3.6 billion. This year, the Bank has introduced new projects worth $1.5 billion.
Both parties expressed satisfaction with the performance of the Bank’s financial portfolio in Morocco, as reflected in the review of several projects, noting this success amid a challenging global environment and various external crises. Adesina commended the Moroccan government’s commitment to development and its strong dedication to meeting its obligations.
He underscored that Morocco and the Bank have enjoyed a privileged partnership since 1970, during which the Bank has mobilized over €15 billion to finance approximately 150 projects throughout the Kingdom.
Engagement with international investors
Moroccan officials also explored collaborations with the leadership of the European Bank for Reconstruction and Development (EBRD) during the AIF, emphasizing the Kingdom’s commitment to engaging a diverse range of financiers, including those from outside Africa, to achieve its development objectives.
Renaud-Basso, President of EBRD, noted that his Bank has invested significantly in Morocco this year, with total investments exceeding €400 million, primarily focused on energy transition, carbon-neutral sectors, women’s integration, and economic digitization. Additionally, since 2012, Morocco has received €4.74 billion in investments from EBRD, with 77% of this funding directed towards supporting the private sector.