Capital investment: Morocco, one of the most active markets in Africa (EIB)

Thursday, February 17, 2022 at 02:31 PM

Casablanca – Morocco is one of the most active markets for investment capital in Africa, said Thursday in Casablanca, the director of operations of the European Investment Bank (EIB) in the neighboring countries of Morocco. European Union (EU), Flavia Palanza.

“The EIB has been a private equity investor in Morocco since 1999 and has since committed €354 million (as of December 2021) to 30 private equity funds, with 58 active investments in private companies for a total amount of €465 .5 million euros (in December 2021),” said Ms. Palanza, who was speaking at the second meeting of the “Morocco 21” conference cycle, initiated by News Com Africa Holding (NCA Holding), devoted to access financing small and medium-sized enterprises (SMEs).

She also noted that the role of non-banking financial institutions (participatory finance, leasing, investment capital) in Morocco is intensifying, particularly for SMEs, stressing that the authorities have set up a series of business support measures.

At the same time, digital financial services and financial education further strengthen financial inclusion and access to finance, she continued.

This conference, organized in partnership with Tamwilcom, a public financial guarantee and financing institution, was also an opportunity for Ms. Palanza to stress that most SMEs need small loans, emphasizing in this regard the importance of “intermediated loans”.

“Intermediated lending to SMEs and mid-cap companies (ETIs) represents a key area of ​​activity for the EIB,” she said, noting that the Bank cooperates with a wide range of financial intermediaries who offer products intended for SMEs and micro-enterprises, and that these loans represent 1/3 of EIB operations in Morocco.

The director of EIB operations in EU neighboring countries also noted that legal reforms to increase the maximum size allow microcredit organizations to also serve small businesses, noting that the EIB supports micro-entrepreneurs to maintain employment through several operations in microfinance.

And to specify that the EIB offers expert solutions and financing dedicated to local banks, in particular through the Trade Competitiveness Program and broader access to financing, giving priority to the agriculture, textile and that of the automobile.

NCA Holding launched the “Morocco21” conference cycle last November, an initiative aimed at deepening reflection and sharing know-how in the construction of Morocco in the 21st century.

Each conference proposes to focus on strategic areas in the implementation of the new development model, with the contribution of international experts to enable sharing of experience and best practices with world leaders. About a hundred guests, experts, decision makers, business leaders and civil society actors, are invited with the aim of enriching the exchanges and deepening the discussion.

The first “Morocco 21” conference was devoted to the digital security of organizations in their digitalization process, a pillar of transformation in the recommendations of the Special Commission on the Development Model.

Among the essential projects that will be tackled in the coming months are the skills of the professions of the future, the ecosystems of scientific research and innovation, the acceleration of clean energies, the environment as a lever for the creation of wealth, the inclusion of rural world or Dakhla as a new African hub for foreign investment.

The world’s leading multilateral funder, particularly for financing climate action, the EIB is a non-profit institution, the financial arm of the EU. It implements European Union (EU) funding policies. Its shareholders are the 27 EU Member States.

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