The European Bank for Reconstruction and Development (EBRD) supports Morocco’s automotive industry with a €15 million loan to Varroc Lighting Systems Morocco, the Moroccan subsidiary of the Indian motor industry’s lighting systems giant, Varroc Engineering Pvt Ltd.
The EBRD’s financing will allow Varroc Engineering to supply the Tangier Renault factory and the Peugeot PSA plant in Kenitra, as well as other companies such as Volkswagen and SEAT. The project also includes the establishment of an engineering center and laboratories.
In addition, several jobs, including engineering posts, will be created between 2020 and 2026, and hundreds young people will receive vocational training to develop the required skills.
This is the second loan extended by EBRD to Varroc Lighting Systems after the €16 million provided in 2018 to finance the setting up of the company in Morocco, as part of the government’s efforts to increase the rate of regional integration to 60 per cent as of this year.
Founded in 1990, Varroc Engineering is a major player in the automotive lighting systems industry. It posted a turnover of €1.8 billion for 2019, has offices in 17 countries and 41 first-class production centers.