The funding was approved on October 21 under the third phase of the Programme to Support the Strengthening of Economic Governance and Resilience to Climate Change.

The programme seeks to increase private-sector investment and value creation while refocusing the state on strategic responsibilities. “Our ambition is to help cushion exogenous shocks, whether economic, energy-related or climate-related,” AfDB Director for Governance and Economic Reforms Abdoulaye Coulibaly said.

“It is also to consolidate the structural reforms necessary to sustainably strengthen the resilience of the Moroccan economy and promote private investment.”

The first component will support the restructuring of state-owned enterprises, modernisation of the public-private partnership framework and improvements to the business environment.

The reforms are intended to mobilise more private investment while supporting small and medium-sized enterprises, innovation and participation in global value chains.

A second component will strengthen climate and energy resilience by modernising governance in the water and electricity sectors.

Climate considerations will also be integrated more extensively into public policy to accelerate Morocco’s transition towards a low-carbon economy. “Morocco has chosen to take action by continuing its reforms despite external shocks,” AfDB Country Manager in Morocco Achraf Tarsim said.

“Our aim is to support this vital momentum to accelerate the transformation of the economy, sustain growth and create more jobs.”

–AfDB/ChannelAfrica–