Project number:


Business sector:

Manufacturing and Services

Notice type:


Environmental category:


Approval date:

25 Apr 2019



PSD disclosed:

10 Sep 2019

Translated version of this PSD: French

Project Description

A EUR 75 million subscription in a Schuldschein issuance by Peugeot S.A. ("PSA"), for use by PSA's subsidiary in Morocco.

Project Objectives

The project supports increasing the production capacity of PSA Morocco's vehicle assembly plant in Kenitra from 100,000 to 200,000 vehicles per year and supports the company's investments in R&D.

Transition Impact

Transition impact will stem from the following qualities:

  • Inclusion: The project will promote women's access to economic opportunities by increasing female participation in a male-dominated sector.
  • Competitiveness: The project will support innovation through an investment in R&D.

Client Information


Peugeot SA is a leading automotive manufacturer and the parent company of the global automotive group Groupe PSA. It owns 95% of PSA Morocco.

EBRD Finance Summary

EUR 75,000,000.00

The proceeds will finance capital expenditure and R&D expenses at PSA Morocco.

Total Project Cost

EUR 525,000,000.00

Total Schuldschein issuance is EUR 525 million.

Environmental and Social Summary

Category B (2014 ESP).  This Project takes the form of a Capital Markets Transaction and as such, access to information was limited to publicly available documentation and responses by the client to requests and questions from the Bank.  In addition to the document review,  ESD visited the constructed and operational facility in Morocco and was able to question key management team members on EHSS issues related to the current and planned operations at the site.  Review of the client's corporate EHSS standards has found these to be in line with the Bank's Performance Requirements (PRs).  The Bank has experience of working with PSA at their Russian manufacturing plant, where the firm's corporate standards have been applied, and there is a documented history of the subsidiary operating in compliance with the Bank's Performance Requirements.  The current and planned operations at the Morocco facility were observed to be in compliance with the PRs and the management team demonstrated capability and capacity to implement the proposed Project in line with these requirements also.  No issues were identified as requiring mitigation or remedial actions in the form of an Environmental and Social Action Plan (ESAP).

The facility in Morocco is located in the Atlantic Free Trade Zone (AFTZ) and all utilities are in place and capable of supporting the operations and planned expansions.  The plant has been subject to Environmental Impact Assessment prior to construction and all operational permits have been issued.  The plant also has an approved environmental monitoring plan to address air, water, noise and waste issues.  The current and planned operations will be within the permitted limits.

All employment at the facility is carried out in compliance with Moroccan employment legislation and PSA corporate standards which have been shown by previous Projects to be in line with the PRs.

PSA has a sophisticated OHS management system and review of data and observations made during the site visit indicated that performance is excellent in this regard.

The ATFZ is located on cleared forest land and there is no evidence of any resettlement being related to the set up of the zone. 

Technical Cooperation


Company Contact Information

Communication Financiere

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