On October 22, 2026, the African Development Bank (AfDB) approved a substantial financing package of $487 million for Morocco during a board meeting held in Abidjan. This funding aims to accelerate the structural transformation of the Moroccan economy by fostering a more dynamic, inclusive, and resilient economic environment that can withstand external and climatic shocks. The AfDB, in its official statement, highlighted that this initiative is part of the third phase of its "Economic Governance and Climate Resilience Support Program," which specifically seeks to enhance the role of the private sector as a key driver of investment and value creation, while refocusing the state's roles on its strategic tasks.
Abdallah Koulibaly, the Director of Governance and Economic Reforms at the AfDB, emphasized the ambition to assist Morocco in absorbing external shocks, whether economic, energy-related, or climate-induced. He noted that the objective is to solidify essential structural reforms needed to sustainably bolster the resilience of the Moroccan economy and stimulate private investment. This initiative aligns with the AfDB's strategic vision, which revolves around four key pillars, and coincides with Morocco's strategic priorities aimed at accelerating economic transformation and enhancing long-term resilience.
Ashraf Tarssim, the AfDB's resident representative in Morocco, reaffirmed that the country has chosen to move forward with its reforms despite external challenges. He stated that the goal is to support this vital dynamism to accelerate economic transformation, promote growth, and create more job opportunities.
The first focus area of this funding is on improving public work mechanisms. This will particularly support the restructuring of public enterprise portfolios, modernizing the public-private partnership framework, and improving the business environment. The intention is to create favorable conditions for attracting more private investments, particularly by supporting small and medium-sized enterprises, fostering innovation, and integrating into global value chains.
The second focus area will contribute to enhancing Morocco's resilience against climate and energy challenges by modernizing governance in the water and electricity sectors and better integrating climate challenges into public policies. This will enable a faster transition towards a low-carbon economy.
This third phase of the program will also solidify the reforms initiated in previous phases while supporting Morocco in addressing the repercussions of the Middle Eastern crisis, particularly seen in the rising costs of energy and transportation. Furthermore, this initiative falls within the "Global Framework for Responding to the Energy and Fertilizer Crisis" established by the AfDB, which combines measures to tackle economic volatility with enhancing resilience by maintaining budgetary margins and prioritizing expenditure in key sectors, all while ensuring the continuation of reform and investment dynamics.
Since 1978, the African Development Bank has mobilized approximately €15 billion to support over 150 projects in Morocco, covering vital sectors such as transportation, energy, water and sanitation, agriculture, and social protection.
As reported by maroc.ma.
