Casablanca – Last week, the BMCI hosted its second edition of the Sustainable Finance Forum, emphasizing the vital role of sustainable finance in Morocco’s transition to a greener economy. With the country positioning sustainable development at the core of its growth strategy, this event brought together key financial sector players, policymakers, experts, and international institutions to discuss innovative solutions for a green future.
Sustainable finance as a key growth driver
The forum underscored Morocco’s ambitious national strategy to reduce greenhouse gas emissions, enhance green energy, and support a sustainable industrial transformation. Morocco’s position as a leader in renewable energy in Africa serves as a model for sustainable development. The country’s financial sector, with its commitment to Environmental, Social, and Governance (ESG) criteria, is increasingly aligning itself with global sustainability standards.
The importance of “green financing” was also emphasized, with participants highlighting that green investments, responsible financing, and financial innovations are critical to addressing environmental and social challenges, including Morocco’s ongoing water scarcity concerns.
Innovative financing solutions for sustainable growth
The BMCI demonstrated its commitment to sustainable finance through new partnerships. Notably, the bank became the first in Morocco to secure a $3.6 million line of green funding from the European Bank for Reconstruction and Development (EBRD). This funding aims to support local businesses pursuing projects in renewable energy, water conservation, and waste reduction.
Furthermore, BMCI introduced the first inclusive and sustainable financing model in Morocco. With an initial $20.6 million loan to the Al Amana microfinance association, this new approach rewards participants with lower interest rates and technical support if they meet predefined environmental and social criteria.
Challenges and opportunities in industrial and water sectors
Minister of Industry and Trade, Ryad Mezzour, highlighted Morocco’s competitive advantage in renewable energy and green industrialization. By leveraging its low-cost renewable energy production, Morocco is attracting investment in clean energy projects, such as green hydrogen. With production costs for green hydrogen reaching as low as $2 per kilogram, Morocco has the potential to play a key role in the emerging global green hydrogen market.
Mezzour also acknowledged the ongoing challenge of securing the necessary financing for industrial projects, with only 10% of the required bridge loans currently disbursed. He outlined the country’s goal of boosting industrial sector value by 2.5 times over the next few years, though financing bottlenecks remain a concern.
Water management was also a central theme of the forum. Nizar Baraka, Minister of Equipment and Water, stressed the importance of sustainable finance to address Morocco’s growing water scarcity. The government has allocated $14.9 billion to its water management program (2020–2027), which includes crucial public-private partnerships to ensure equitable and efficient water distribution across the country.
Towards a sustainable future: Morocco’s long-term Goals
Morocco’s commitment to sustainability extends beyond renewable energy. With a goal of generating 52% of its energy from renewable sources by 2030, the country is on track to meet this target by 2027, three years ahead of schedule. The Green Tech sector, driven by innovations in solar, wind, and energy storage technologies, will continue to play a pivotal role in the country’s energy strategy.
The upcoming 2030 FIFA World Cup provides an additional opportunity to integrate sustainable practices into large-scale infrastructure projects. The government aims to minimize the carbon footprint of these projects by prioritizing renewable energy sources and low-carbon construction methods.
Water, finance, and innovation: Key themes for morocco’s green Transition
As Morocco tackles pressing issues like water stress and industrial decarbonization, the need for green finance solutions has never been more urgent. BMCI’s efforts to provide financing to local companies are essential for advancing these sustainable projects. Alongside this, corporate clients are increasingly adopting ESG criteria to remain competitive both locally and internationally.
The upcoming tax on carbon emissions at European borders will push Moroccan businesses to align with global environmental standards. For Moroccan exporters, failing to decarbonize could lead to exclusion from key international markets.
A greener, more competitive future for Morocco
Through innovative partnerships, financing initiatives, and a commitment to sustainability, Morocco is positioning itself as a leader in green economic transformation. By embracing sustainable finance, the country can accelerate its green transition, promote environmental stewardship, and strengthen its competitiveness in a rapidly evolving global economy.
The BMCI Sustainable Finance Forum has set the stage for continued collaboration across sectors, ensuring that Morocco’s green future remains a key pillar of its economic growth strategy. As financial institutions, businesses, and government agencies work together, sustainable development will drive Morocco toward a more resilient and prosperous future.