Casablanca – The Municipal Equipment Fund (FEC) closed 2025 with sustained lending activity driven by strong territorial investment momentum, according to its fourth-quarter financial indicators released on February 24.
By the end of December, loan commitments reached nearly MAD 3.4 billion, while disbursements totaled about MAD 2.7 billion, marking increases of 31% and 46% respectively compared with the previous year. The institution said this growth reflects continued demand for financing from local and regional actors.
Beyond volumes, the bank stated that it has integrated environmental, social, and climate risk criteria into its overall risk management framework and decision-making processes. Due diligence conducted under its Environmental and Social Policy aims to ensure the sustainability of financed projects and their contribution to the Sustainable Development Goals.
As of the end of 2025, more than 92% of projects committed were classified in categories C or D, corresponding to minimal and manageable risks. Category D accounted for 32 projects, or 51% of the total, while category C represented 26 projects, or 41%. Five projects, or 8%, were classified in category B.
Net banking income reached MAD 659 million at the end of December 2025, compared with MAD 672 million a year earlier. In the fourth quarter alone, net banking income stood at MAD 168 million, down from MAD 177 million in the same period of 2024. The bank said its pricing policy seeks to pass on market developments to clients while preserving financial balance.
Customer loans outstanding rose slightly to MAD 27.6 billion at year-end, compared with MAD 27.5 billion at the end of 2024. In December, the bank completed a MAD 2 billion bond issuance that was oversubscribed 1.48 times, reflecting investor interest.
The African Development Bank’s board also approved a new €150 million financing for the institution. International lenders accounted for more than 23% of total borrowing resources at the end of 2025, up from 18% a year earlier and 7% in 2020.
Total financial debt showed mixed movements across categories, with increases in domestic borrowings and subordinated debt, and a decline in treasury borrowings compared with the previous year.
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