Spain's Investment in Moroccan Railway Infrastructure
Recent claims circulating on social media suggested that Spain has generously 'gifted' millions of euros to Morocco, Uzbekistan, and Egypt for railway enhancements, while neglecting its own domestic transportation infrastructure. However, this assertion is misleading. The funds in question are actually repayable loans aimed at promoting Spanish companies overseas, specifically through the Internationalization of Businesses Fund (FIEM). This fund provides financial support for Spanish enterprises involved in international projects.
Social media posts alleged that Spain granted a staggering 247 million euros to Morocco and Uzbekistan for upgrades to their train and tram systems. Additionally, reports indicated that millions were also allocated to Egypt for the Cairo Metro system, with some sources claiming that the total amount exceeded 1.5 billion euros for railway improvements across these three nations. Such statements coincided with a tragic train accident involving two high-speed trains near Urda, Toledo, resulting in a devastating loss of at least 64 lives and numerous injuries.
Clarifying the Misconceptions: Repayable Loans Explained
In reality, the Spanish government's financial assistance to Morocco, Uzbekistan, and Egypt consists of repayable loans designed to stimulate Spanish business activity abroad. On April 12, 2019, the Spanish Council of Ministers approved two loans totaling 247 million euros for these railway enhancements, specifically targeting the internationalization of Spanish firms.
The first loan, amounting to 190 million euros, was earmarked for Morocco, contingent upon the selection of a Spanish company to develop two new tram lines in Casablanca. Spanish company CAF and the French firm Alstom España participated in the tender, with Alstom ultimately winning the contract. Consequently, the loan was directed to the French company, whose Spanish branch assembles trams in Barcelona.
The second loan, valued at 57.5 million euros, was granted to Uzbekistan's railways for the purchase of two trains and four coaches, along with spare parts and maintenance equipment from the Spanish company Talgo. This acquisition was confirmed in May 2019.
Moreover, in 2025, the Spanish and Moroccan Ministries of Economy established another repayable fund exceeding 750 million euros to facilitate the acquisition of 40 trains by Rabat, with CAF securing the contract for this project.
In 2021, the same fund was utilized to approve a loan of 159 million euros for the modernization of the Cairo Metro, once again involving CAF as the executing company. Following that, on December 10, 2024, an additional loan of 227.8 million euros was granted for the rehabilitation and modernization of Cairo's Metro Line 2.
In conclusion, while it is accurate that Spain has allocated millions for railway projects in Morocco, Uzbekistan, and Egypt, it is essential to clarify that these are repayable loans aimed at enhancing the presence of Spanish companies in international markets.
As reported by verifica.efe.com.
