The World Bank has approved a $500 million financing package for the Morocco under the First Morocco Jobs and Green Growth Development Policy Loan. This initiative aims to boost employment by improving labor market policies, supporting small and medium-sized enterprises, and promoting investments in clean energy, energy efficiency, and export-oriented industries such as pharmaceuticals.
This program, the first in a series of three planned operations, supports Morocco’s national Jobs Roadmap by expanding opportunities for youth and women. It seeks to reach over 330,000 job seekers by 2029 through enhanced labor market programs and better alignment between education systems and private sector needs. The initiative also promotes female workforce participation by increasing access to licensed childcare, creating thousands of new childcare spaces and job opportunities for women.
The financing further focuses on improving the business environment, particularly for SMEs, to foster a more inclusive and resilient economy. Key reforms include modernizing insolvency systems to better manage financial distress, strengthening credit guarantee mechanisms, and streamlining investment processes through regional institutions to encourage private sector growth.
In addition, the program supports Morocco’s transition to a greener economy by removing barriers to private investment in renewable energy and expanding energy efficiency services. It also aims to strengthen the country’s pharmaceutical sector, positioning it for significant export growth in the coming years.
Overall, the initiative adopts an integrated approach to address interconnected challenges such as youth unemployment, low female labor participation, and limited private investment. By combining policy reforms with financial support, the program is expected to accelerate Morocco’s economic transformation, enhance competitiveness, and promote sustainable and inclusive growth over the long term.
