IMF Executive Board Approves US$1.3 Billion Under the Resilience and Sustainability Facility Arrangement for Morocco
IMF News, September 28, 2023
Source details
- Canonical URL
- IMF Executive Board Approves US$1.3 Billion Under the Resilience and Sustainability Facility Arrangement for Morocco
Other formats
Bibliographic details
- Published: September 28, 2023
Objectives and expected impacts
- Support Morocco’s transition to a greener economy.
- Strengthen preparedness and resilience against natural disasters, including from climate change.
- Help address climate vulnerabilities and bolster resilience against climate change.
- Boost investment in renewable energy and increase energy efficiency.
- Strengthen resilience against natural disasters and tackle water scarcity.
- Green Morocco’s financial sector.
- Bolster Morocco’s external stability by reducing dependence on imported energy and helping attract foreign direct investment.
- Contribute to mobilizing the private financing required to implement Morocco’s climate adaptation and mitigation efforts, with continued support from other development partners.
Key risks and opportunities (as stated)
- Risks: Climate change represents a major risk to Morocco’s development; drought and water scarcity cause macroeconomic volatility with adverse impacts on agriculture; the recent earthquake illustrates potential implications of natural disasters, including from climate change.
- Opportunities: Morocco’s generous endowment in renewable resources positions it to reap benefits from the global decarbonization agenda and to put economic growth on a stronger and more resilient path.
Official statement (Kenji Okamura, Deputy Managing Director and Acting Chair)
- “Climate change represents a major risk to Morocco’s development but also offers opportunities. Drought and water scarcity have become a major source of macroeconomic volatility, with particularly adverse impacts on agriculture, while the fallout from the recent earthquake points to the potential implications of natural disasters, including from climate change. At the same time, thanks to its particularly generous endowment in renewable resources, Morocco is well-placed to reap the benefits of the global decarbonization agenda. Deploying this potential represents an opportunity for Morocco to put economic growth on a stronger and more resilient path.”
- “The RSF will help Morocco boost investment in renewable energy, increase energy efficiency, strengthen resilience against natural disasters, green its financial sector, and tackle water scarcity. It will also help bolster Morocco’s external stability by reducing its dependence on imported energy and helping attract foreign direct investment. By achieving these objectives, and with continued support from other development partners, the RSF is expected to contribute to mobilize the private financing required to implement Morocco’s climate adaptation and mitigation efforts.”
Source: IMF press release, September 28, 2023.
