The African Development Bank Group and the Fonds d'équipement communal (FEC) have signed a second agreement for a €150 million loan on 22 July in Rabat, to support investment momentum among Morocco's municipalities.
The signing took place during an event that also featured the signing of a grant agreement and a letter of intent aimed at anchoring strategic cooperation between the two institutions within a long-term framework.
The €150 million financing package will enable the FEC to continue funding sustainable, inclusive and climate-resilient infrastructure projects including the construction of rural access roads, drinking water networks, urban renewal initiatives, as well as educational and socio-cultural facilities.
The overall objective of this new operation is to support the provision of public services at the municipal level, particularly in rural areas, and to improve community' access to essential services, enhance resilience to climate change, and foster job creation and investment opportunities.
The African Development Bank will also provide technical assistance to the FEC to further strengthen its operational capacities.
"These agreements reflect a strong shared ambition to go even further in supporting municipalities as key drivers of development. Our priority is to accelerate the delivery of sustainable, inclusive and resilient infrastructure for the benefit of local communities," said Achraf Tarsim, Country Manager of the African Development Bank Group for Morocco.
"This signing reflects the deepening trust between our two institutions. The FEC and the African Development Bank share common values centred on sustainable development, placed here at the service of municipal development dynamics" said Omar Lahlou, FEC's Governor and Chief Executive Officer.
The project is aligned with Morocco's development priorities, including the socio-economic development and quality of life of communities in its territories. It also advances the African Development Bank Group's Four Cardinal Points.
About the Municipal Equipment Fund (FEC)
A public bank dedicated to financing territorial development, the Fonds d'équipement communal has, for over 65 years, been the leading technical and financial partner of Morocco's municipalities. As a financial institution, it plays a pivotal role in implementing territorial development programmes. It continuously adapts its interventions to address local challenges and priorities, particularly in reducing territorial and social disparities, strengthening resilience to climate change, and improving the quality of local public services.
