Sami explained in a statement to ‘Sputnik’ that the loan is designated for the development of the water and energy sectors, enhancing infrastructure and social services, as well as supporting clean energy projects and sustainability in the face of climate changes. In relation to the debt value this year, the economic expert indicated that reports estimate Morocco’s public debt will reach about 79.2% of GDP by 2025, with the total public debt reaching approximately 130 billion dollars in the same year.
Sami added that the government expects borrowing of about 12.5 billion dollars in 2025, divided between external and internal borrowing. The government, through the 2025 budget, has anticipated borrowing around 12.5 billion dollars in the medium and long term, distributed between six billion dollars in external loans and 6.5 billion dollars internally. Mr. Sami confirmed that indicators suggest Morocco can continue borrowing for several reasons, the most important of which are:
The economic expert discussed the potential benefits and drawbacks of borrowing, outlining the main positives and negatives as follows:
He urged focusing on projects that generate foreign currency through investment in tourism, green energies, export industries (such as automotive and aviation), supporting export agriculture, and financial technology to attract foreign investments.
A loan from the OPEC Fund for International Development, exceeding one billion dirhams, is set to finance the second phase of the “Support for Strengthening Economic Governance and Climate Resilience” program, supporting ongoing reforms in the water and energy sectors in cooperation with the African Development Bank.
The OPEC Fund approved new financing exceeding one billion dollars during its board meeting to “enhance infrastructure, social services, clean energy, and sustainable livelihoods” in the continents of Africa, Latin America, and Asia. Under this financing, Morocco will receive a “policy-based loan” worth 100 million euros “1.06 billion dirhams,” according to the Moroccan website ‘Hespress’.
