The EU is providing a €190 million ($200 million) loan to Morocco for recovery efforts following a severe earthquake in September 2023. Over 3,000 people died, leading to substantial international aid, including an increase in EU funding to €1 billion for reconstruction. The overall economic outlook for Morocco is cautious, with projected growth slowing in 2024 due to agricultural challenges.
The European Union has allocated a €190 million ($200 million) loan to Morocco to assist in the recovery and reconstruction efforts following a devastating earthquake that struck in September 2023, registering a magnitude of 6.8. This unprecedented disaster resulted in nearly 3,000 fatalities and over 6,000 injuries. The funding will focus on rebuilding homes, reinstating essential public services such as healthcare and education, and revitalizing local economies, as reported by Morocco World News. In addition, the EU is set to raise its overall assistance for earthquake recovery in Morocco to €1 billion, according to EU Commissioner for Neighborhood and Enlargement, Oliver Varhelyi. Recently, the European Bank for Reconstruction and Development also approved a €200 million loan for Morocco’s OCP Group to enhance water security by developing new desalination facilities, further underscoring international support for Morocco in times of crisis. However, the country’s economic outlook remains challenging, with projections of a growth rate decrease to 2.8 percent in 2024 due to a 7 percent contraction in the agricultural sector.
The financial assistance from the European Union highlights the urgent need for reconstruction efforts in Morocco after the recent earthquake, which is considered the strongest in the nation’s history. The extensive support aims not only to provide immediate relief but also to invigorate the overall economy that has suffered due to agricultural decline. The mentioned loans further demonstrate ongoing international collaboration to aid Morocco during this critical period of recovery and stabilization.
In conclusion, the $200 million loan from the EU represents a cornerstone of international efforts to support Morocco’s recovery following the catastrophic earthquake in September 2023. This funding will enhance rebuilding initiatives, restore vital services, and help revitalize local economies. The extended commitment of €1 billion signals the EU’s dedication to Morocco’s long-term stability and recovery, although challenges remain, particularly in the agricultural sector.
Original Source: www.agbi.com
