- EBRD, GCF and Canada through HIPCA lend €70 million to Bank of Africa in Morocco under GEFF plus programme
- EU providing technical assistance and investment incentives to accompany SMEs in their green investments
- Funds to boost access to green finance for private sector and promote capacity building for women-led businesses
The European Bank for Reconstruction and Development (EBRD) is joining forces with the Green Climate Fund (GCF), the European Union (EU) and Canada through the EBRD’s High-Impact Partnership on Climate Action (HIPCA)* to boost access to finance for private businesses in Morocco through a €70 million loan to the Bank of Africa (BOA).
The financing package will be provided through the EU-backed Morocco Decarbonisation and Climate resilience programme (GEFF+) in Morocco and will consist of a senior unsecured loan of up to €35 million to be provided by the GCF and a senior unsecured loan of up to €35 million co-financed by HIPCA.
The facility will help BOA extend on-lending to Moroccan private-sector companies – including micro, small and medium-sized enterprises – aiming to invest in climate change mitigation and adaptation technologies.
The financing will be complemented by a comprehensive technical cooperation (TC) package worth a total of €6 million, with the EU providing €2.38 million in investment grants and the GCF providing the other €3.62 million. The TC will fall under the
Morocco Decarbonisation and Climate Resilience programme and will support BOA in developing its green lending practices. This facility also aims to encourage private companies to invest in climate change mitigation and low-carbon technologies. In addition, the TC will promote equal opportunities and women’s access to climate finance, enable training for BOA branch staff in gender-responsive green finance, and include capacity-building and awareness-raising sessions for BOA staff to help expand and accelerate investments in sustainable energy in Morocco’s private sector.
BOA is the third-largest bank in Morocco. The group is listed on the Casablanca Stock Exchange and is present in 32 countries covering sub-Saharan Africa, Europe, Asia and North America. It is one of the EBRD’s key partners in green finance, with €113 million in green loans extended under the scope of this cooperation.
Morocco is a founding member of the EBRD and became one of the Bank’s countries of operation in 2012. To date, the EBRD has invested €5.4 billion in Morocco through 117 projects.