Morocco: 120 million euros from the African Development Bank to strengthen governance and resilience to external shocks
HIBAPRESS-RABAT
Morocco: 120 million euros from the African Development Bank to strengthen governance and resilience to external shocks
Funding
Designation: Support Programme for Strengthening Governance and Resilience to Climate Change (PGRCC) – Phase 1
Total amount – Phase 1: 120 million euros
Context
Over the decade 2010-2020, Morocco has carried out significant structural reforms. The Kingdom has invested considerably in infrastructure with a budget envelope dedicated to public investment increasing from 167 to 335 billion dirhams over the period 2011-2023.
In Morocco, the level of growth remains a function of rainfall and fluctuations in energy prices. This situation impacts the growth trajectory and increases macroeconomic volatility.
Main objectives
The main objective of the PGRCC is to implement reforms that boost the Moroccan economy and consolidate its resilience to exogenous factors, including climatic ones.
In this context, the Bank supports major reforms of economic and sectoral governance, in particular the current one concerning public enterprises.
In a context of repositioning of the development model, PGRCC will contribute to refocusing the public sector on its strategic and regulatory functions while continuing its role as a catalyst for private investment and economic competitiveness.
In supporting the transition to a sustainable development approach, the programme has the second objective of reducing the volatility of the macroeconomic framework in relation to exogenous factors, including climate factors. In this context, it will support the government’s efforts to strengthen governance, improve the performance of the water sector and establish a framework favourable to the development of renewable energies.
Expected results
Strengthen the governance of companies and public institutions.
Increasing the contribution of the private sector to growth and economic transformation.
Promote a more competitive business environment that encourages private investment and entrepreneurship.
Strengthen water sector governance and reduce the vulnerability of the economy to resource availability.
Strengthening the resilience of the economy to the effects of climate change.
Strengthening energy independence through increased use of renewable energies.
