FEC’s Net Result declined between 2019 and 2020 due to its $10.8 million donation to Morocco’s COVID-19 response fund.
Rabat – Morocco’s Fund for Communal Equipment (FEC) reached a Gross National Product (GNP) of MAD 294 million ($31.8 million) in the first semester of 2020, making an increase of 11% against the same period in 2019.
In its semestrial financial report, FEC attributes the increase to the strong performance of activity indicators and the optimization of the cost of resources.
Meanwhile, FEC indicated that its Net Result decreased between 2019 and 2020. The sum declined from MAD 141 million ($15.2 million) in 2019 to MAD 116 million ($12.5 million) this year.
According to FEC, 50% of the decrease follows its donation of MAD 100 million ($10.8 million) to Morocco’s Special Fund for the Management and Response to COVID-19.
Without the donation, FEC said its Net Result would have reached MAD 162 million ($17.5 million), an increase compared to 2019.
Loan commitments for the first semester of 2020 reached MAD 1.8 million ($194,000), making an increase of 13% compared to the same period in 2019.
These loans primarily concern the financing of projects which fall within the framework of urban upgrading and development programs, the development and strengthening of basic infrastructure, the development of road networks, and the fight against social insecurity.
Another major highlight of the Communal Equipment Fund report includes loan disbursements. The figures recorded an increase of 38% between the first semesters of 2019 and 2020, reaching MAD 1.2 million ($129,900) this year.
Morocco’s Communal Equipment Fund has been operating for 60 years.
FEC offers the possibility to achieve projects that improve urban development by financing the development of economic activity zones, sports and leisure infrastructures, green spaces, tourist facilities, and others.