Algeria 
Egypt 
Israel 
Jordan 
Lebanon 
Libya 
Morocco 
Palestine * 
Syria 
Tunisia EBRD promotes youth entrepreneurship in Morocco
The European Bank for Reconstruction and Development (EBRD) is supporting young entrepreneurs in Morocco with a loan of up to €10 million (to be provided in local currency) to Fondation Arrawaj, one of the country’s leading microlenders. The financing package is being provided under the EBRD’s Youth in Business programme to assist Fondation Arrawaj in on-lending to private micro, small and medium-sized enterprises (MSMEs) owned or led by entrepreneurs under 35 years of age. It will place special emphasis on those regions affected by the earthquake that struck Morocco in 2023.
MSMEs owned or led by young entrepreneurs present a unique market opportunity for the Moroccan financial sector and are a unique vehicle for increasing financial inclusion. However, they continue to face financing gaps, constraining their economic opportunities. It is estimated, for example, that only 14 per cent of young Moroccans have a bank account.
The facility will be accompanied by a comprehensive technical cooperation package to provide Fondation Arrawaj with capacity-building training to improve its ability to cater for the financial needs of eligible MSMEs, as well as results-based payments funded by the EBRD. The technical cooperation package will also include training opportunities for Fondation Arrawaj’s sub-borrowers, with a focus on digital and non-financial services. The loan will further benefit from first-loss risk cover for sub-loans extended in the regions of Morocco affected by the 2023 earthquake.
Countries covered:
-
Morocco
