The European Bank for Reconstruction and Development (EBRD) is providing a €50 million credit line to Bank of Africa – BMCE Group (BOA) for on-lending to micro, small and medium-sized enterprises (MSMEs) to support the resilience and competitiveness of Morocco’s private sector.   The €50 million loan is provided under the EBRD Financial Intermediaries Framework (FIF) and will assist BOA in funding MSMEs, which remain underserved in Morocco’s banking sector.

A segment of the loan will help finance companies operating in value chains located in Tangier and Kenitra, as well as in underserved regions to make it easier for small businesses to access finance.

The EBRD recently increased the total trade line limit granted to Bank of Africa under its Trade Facilitation Programme (TFP) from US$ 150 million to US$ 175 million. This will support BOA in issuing guarantees in favour of confirming banks and provide cash financing for pre-export, post-import financing and local distribution. It also means that BOA and its private MSME and corporate clients can continue to import a large variety of goods into Morocco.

With this increased limit, BOA can also further support Morocco’s green economy, as it is a key contributor to the EBRD’s Green Trade Facilitation Programme, notably by sourcing transactions for scrap metal and forestry from sustainable sources. To maximise the impact of this programme, BOA will receive a comprehensive technical assistance package under the TFP framework consisting of advisory services, access to the EBRD Trade Finance e-Learning Programme, and interactive workshops on different trade finance topics.