WASHINGTON DC: The International Monetary Fund (IMF) has approved an 18-month Resilience and Sustainability Facility (RSF) for Morocco, worth approximately $1.3 billion. The arrangement aims to support Morocco’s transition to a greener economy and enhance its preparedness and resilience against natural disasters, including those caused by climate change.
The RSF will help Morocco address climate vulnerabilities, seize opportunities from decarbonization, and strengthen preparedness for natural catastrophes. It will also stimulate financing for sustainable development and reduce the country’s dependence on imported energy, thereby bolstering its external stability and attracting foreign direct investment.
According to Kenji Okamura, Deputy Managing Director and Acting Chair of the IMF, “Climate change poses a significant risk to Morocco’s development but also offers opportunities. The country’s generous endowment in renewable resources puts it in a prime position to benefit from the global decarbonization agenda, which will help put economic growth on a stronger and more resilient path.
The RSF will enable Morocco to invest in renewable energy, increase energy efficiency, tackle water scarcity, and green its financial sector. With continued support from other development partners, the RSF is expected to mobilize private financing to implement Morocco’s climate adaptation and mitigation efforts.“
In conclusion, the IMF’s approval of the RSF for Morocco is a significant step towards achieving a greener and more resilient economy, which will benefit both the country and the global community.