Casablanca – The Islamic Development Bank (IsDB) has approved a $227 million financing package to support Morocco in addressing two strategic priorities: water security and the development of inland aquaculture. This announcement, confirmed after the Bank’s latest Board of Executive Directors meeting, underscores Morocco’s position as a leading recipient of multilateral support under the IsDB’s 2026–2035 strategic roadmap.
The total package is divided into two components. The first, worth $206.8 million, is aimed at mitigating the growing water stress across the country. The funds will finance the construction of new dams and associated hydraulic infrastructure, secure drinking and agricultural water supplies, and facilitate the transfer of surplus water from northern river basins to southern regions, which are increasingly vulnerable to drought. The program is designed to enhance Morocco’s resilience to climate change, strengthen its economic sovereignty, and ensure sustainable access to a critical resource that underpins agriculture, industry, and regional competitiveness.
“Water security has become a central pillar of Morocco’s economic strategy,” said a spokesperson for the IsDB. “Reliable water supply is essential not only for agriculture but also for industrial development and territorial attractiveness, making it a priority for both economic growth and social stability.”
The second component, valued at $20.0 million, targets the development of Morocco’s inland aquaculture sector, with a focus on strengthening freshwater fish farming. The project aims to diversify rural incomes, expand employment opportunities, and enhance the production and commercialization of aquaculture products. As an underdeveloped yet strategically important sector, inland aquaculture contributes to food security, reduces reliance on imports, and supports sustainable rural development.
Together, these projects represent approximately 16.5% of the $1.37 billion approved for twelve member countries during the IsDB Board session, positioning Morocco among the top beneficiaries. The country’s strategic allocation contrasts with other projects approved during the same session, such as large-scale transport infrastructure in West Africa, including in Benin and Côte d’Ivoire, reflecting Morocco’s focus on high-impact water and agricultural investments.
Morocco has long been a strategic partner of the IsDB. In 2024, the country received $464.5 million in financing, contributing to a cumulative total of approximately $7.5 billion since 1975. The recent approvals are expected to further accelerate in the coming years, due to the alignment between Morocco’s development strategy and the Bank’s evolving financing priorities.
The financing also opens the door for Morocco to access the IsDB’s Sustainable Finance Framework, which allows member countries to mobilize green, social, and sustainable sukuk to fund infrastructure, water, and energy transition projects. The framework has a programmatic ceiling of $10 billion, which can be deployed across member states on a project-by-project basis. This mechanism reinforces Morocco’s access to innovative, low-cost financing for structural investments aligned with environmental and social objectives.
These decisions fall within the scope of the IsDB’s 2026–2035 strategic roadmap, which seeks to expand the Bank’s concessional financing capacity and strengthen its role as a leading development partner for member countries. The roadmap emphasizes three key pillars: solutions tailored to national contexts, the application of Islamic finance principles to promote sustainable and inclusive growth, and allocation of resources to high-impact sectors that enhance productivity and resilience.
For Morocco, the strategic focus on water, energy, and transport infrastructure aligns with the country’s long-term development plans, including efforts to modernize its transport networks and prepare for major international events. Efficient infrastructure investments are expected to improve connectivity, lower trade costs, enhance supply chain resilience, and support regional economic integration. In parallel, energy and water projects will secure essential resources for sustainable growth and strengthen climate adaptation measures.
The IsDB’s financing model, described as apolitical, counter-cyclical, and solidarity-based, positions the institution as a leading platform for South–South cooperation, complementing traditional development partners while supporting member countries in achieving structural and social development objectives. For Morocco, this renewed partnership provides an opportunity to advance its sustainable development agenda, improve economic resilience, and enhance the livelihoods of rural communities.
