The memorandum of understanding will finance Morocco’s sustainable projects in various fields.
Rabat – The Credit Agricole du Maroc Group (GCAM) has signed a memorandum of understanding with the French Development Agency (AFD) to set up a €50 million credit line to finance agricultural projects.
The chairman of GCAM’s board, Tariq Sijilmassi, signed the MoU with the director of AFD’s office in Morocco, Mihoub Mezouaghi, at the 14th International Agricultural Exhibition (SIAM 2019) in Morocco.
The credit line will be used to finance agricultural and agri-food projects with a dimension of sustainable development and the protection of natural resources.
The AFD supports financing Morocco’s sustainable projects in various fields, primarily fighting land degradation and promoting organic farming, agroforestry use of renewable energies, energy efficiency, and waste treatment.
Technical assistance will also be provided as part of the MoU for better structuring, and also for its clients to support their growth and sustainable development.
“This new line of credit will help the holders of agricultural projects to more sustainable and less expensive production solutions including the reduction of fossil fuel consumption and the consumption of water and phytosanitary products,” Mezouaghi said.
Mezouaghi added that it is also a question of switching from regular agriculture practices to an alternative agricultural system with higher added value, like organic agriculture, which relies on ecological processes, biodiversity, and cycles adapted to local conditions.