The World Bank plans to utilize guarantees to draw more international financing to Morocco, said Hiroshi Matano, Executive Vice President of the Multilateral Investment Guarantee Agency (MIGA).
"We think that our guarantees can help Moroccan borrowers (sub-sovereign and state-owned enterprises) diversify their funding sources with private capital," Matano said in an interview with MAP.
The initiative is expected to support Morocco's transition to greener energy, expand its position as a global hub for trade and logistics, modernize transport infrastructure, and enhance its human capital, the WB official said during his visit to Morocco on September 9-13.
MIGA has already issued close to €810 million in guarantees to help finance the construction and expansion of the Rabat campus for Mohammed VI Polytechnic University (UM6P), he recalled, adding that this operation sets the stage for future projects, including the expansion of the Tanger Med port complex and potential interventions in the railway sector.
"We are also exploring opportunities to help Moroccan companies export or invest internationally," Matano underlined, recalling that MIGA launched last July a guarantee platform to facilitate both inbound and outbound investments, particularly in Africa.
Matano noted the increasing role of African banks, including Moroccan institutions, as key financiers across the continent. "We want to support African banks and investors as we have been supporting global banks and investors," he stated.
During his visit to Morocco where he met with government officials and public institutions, Matano discussed how the World Bank Group can align its efforts with Morocco’s development priorities, focusing on high-productivity sectors such as education, healthcare, renewable energy, water, and transport. These align with Morocco's New Development Model for 2021-2035.
"This visit provided an opportunity to explore collaborative ways to support Morocco's ambitions through World Bank Group guarantees," he said, reaffirming the commitment to strengthening the longstanding partnership between Morocco and the World Bank.
Created in 1988, MIGA aims to promote foreign direct investment in emerging economies by mitigating non-commercial risks and enhancing credit for private investors through guarantees. Since its inception, MIGA has issued over $87 billion in guarantees for more than 1,000 projects, including wind farms, railways, and educational institutions.
The World Bank Group's Guarantee Platform aims to streamline processes and enhance accessibility to guarantees, targeting an annual issuance of $20 billion by 2030 to expand its impact in client countries.
