Morocco and African Development Bank sign 434.4 million Euro agreement for economic resilience

The Moroccan government and the African Development Bank signed a financing agreement in Rabat on Friday, November 13, 2026. The agreement initiates the third phase of the "Program to Support Strengthening Economic Governance and Resilience to Climate Change" (PGRCC). According to various Moroccan media outlets, the total value of the financing is 434.4 million Euro, which is approximately 4.8 billion MAD.

The funding is intended to accelerate Morocco's structural economic transformation and promote inclusive growth. A primary focus of the program involves reforming public enterprises and institutions while improving the general business climate. Additionally, the agreement aims to enhance governance within the electricity and water sectors and accelerate the development of renewable energy.

Economic and climate objectives

The financing package includes technical assistance alongside direct investment funding. The program is designed to help Morocco manage the economic impacts caused by the crisis in the Middle East, specifically regarding the rising costs of transport and energy. To address environmental challenges, the program includes specific initiatives for wastewater reuse and seawater desalination.

Fouzi Lekjaa, the Minister of Economy, Finance and Public Efficiency, stated that the partnership is strengthened by the Bank's trust in the reform dynamics led by King Mohammed VI. Achraf Hassane Tarssim, the Resident Representative of the African Development Bank in Morocco, noted that the Bank's role is to accompany Morocco's momentum to accelerate economic transformation and job creation.

Institutional coordination and implementation

Several key entities will lead the implementation of this program. These include the Ministry of Economy, Finance and Public Efficiency, the Ministry of Interior, the Ministry of Energy, Transition and Sustainable Development, and the Ministry of Equipment, Water and Environment. Other involved organizations include the National Office of Electricity and Drinking Water (ONEE), the National Electricity Regulatory Authority, and the National Agency for the Strategic Management of State Holdings.

Nizar Baraka, the Minister of Equipment, Water and Environment, emphasized the necessity of adapting management approaches to extreme weather events by prioritizing coordination and anticipation. This approach aims to mitigate the effects of climate change, such as floods and droughts, which have impacted the region amidst international geopolitical instability.