WB supports Morocco’s financial & digital inclusion with $450 Mln funding

The World Bank has approved a third Development Policy Financing (DPF) of $450 million for Morocco to enable the country advance financial and digital inclusion, key enablers in reducing poverty and boosting shared prosperity

This third financing was announced end of March. It is “in line with the recommendations of the New Development Model (NDM), which emphasizes the need for a paradigm shift to promote inclusive, private sector-led growth to improve public services and reduce social and spatial disparities,” said Jesko Hentschel, WB Country Director for the Maghreb.

“Morocco has begun to digitalize social protection programs, supporting equity financing and non-banking instruments for innovative companies, and digitalizing public procurement for better access of SMEs to public contracts,” added the WB official

This third funding will foster Morocco’s financial inclusion by expanding access to a diverse range of financial services to rural populations, women, and youth, and digital entrepreneurship by diversifying the financial instruments available to young and innovative firms to support job creation.

With the WB support, Morocco’s microfinance sector will also be able to transform from non-profit associations into deposit-taking institutions to grow their funding base and offer a wider range of savings and credit products to women and rural populations.

According to the WB, Morocco’s amendment of the private equity law will support the efforts to modernize and decarbonize the country’s economy through the Mohammed VI Fund for Investment which will raise and invest private equity funds.