BRINGING MOROCCO FINANCIALLY ONLINE
Policy-based loans are a new instrument to combine project financing with support for government reform agendas. In 2022, the OPEC Fund provided US$435 million to partner countries worldwide.
US$100 MN OPEC Fund loan to Morocco
The global COVID-19 pandemic was more than a health emergency — it also caused mass economic disruption. Businesses closed, jobs were lost and debt soared in a world struggling to regain its health. In some countries the economic effects were even harder to overcome than the health shock itself. Morocco was one of those na- tions. After years of trending up- wards, GDP dropped by more than US$7 billion between 2019 and 2020. The aftereffects of the pandemic, combined with a severe drought in 2020, were felt most intensely by small businesses as well as vulner- able groups such as women and youth as they grappled with rising unemployment from the lockdown closures.
Now that the COVID-19 shocks have lessened, the government is attempting to kick-start growth via a series of policy measures to create a more fertile environment for micro, small and medium-sized businesses. The OPEC Fund is expecting to make a big impact, thanks to a US$100 million loan to the government of Morocco to strengthen the country’s financial and digital inclusion. This policy-based loan will tackle a multitude of issues at once. The Financial and Digital Inclusion Program includes many sub-components: COVID-19 impact will be mitigated through a targeted social protection project. The resilience of households and micro,
99 %
Broadband connectivity rate
75/140
Morocco’s rank in the Global Competitiveness Report, World Economic Forum (2019)
38
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