The AMF extended a new loan to the Kingdom of Morocco, with the amount of Arab Accounting Dinar 69.501 million, the equivalent of approximately USD 277 million, within the framework of the Structural Adjustment Facility in the Financial and Banking Sector. The agreement was signed on Friday, March 17, 2023, by HE Nadia Fettah, Minister of Economy and Finance, on behalf of the Kingdom of Morocco, and HE Dr. Abdulrahman A. Al Hamidy, Director General Chairman of the Board of Executive Directors of the AMF, on behalf of the AMF, with the aim to provide financial resources to support a reform program aiming at enhancing the efficiency of the financial and banking sector in the Kingdom of Morocco.
On this occasion, her Excellency the Moroccan Minister of Economy and Finance expressed her appreciation for the support provided by the AMF and the important role it plays in strengthening the ability of Arab countries to maintain economic stability and face different challenges. In turn, his Excellency the Director General of the AMF valued the efforts pursued by the Kingdom of Morocco to implement economic and structural reform programs, which largely contribute to improving the outlook for its credit rating by rating agencies, stressing the AMF keenness to continue the fruitful partnership with the Moroccan government to help the country address the different challenges in the most effective way.
The program supported by the aforementioned loan includes a number of pillars: strengthening the system of control and supervision of the financial and banking sector, promoting sustainable financing, enhancing financial inclusion, promoting financial innovation, and developing the legal framework governing the capital market.
The AMF is currently studying financing requests from other member countries, and is processing the requests through expeditious procedures, in order to provide support as quickly as possible, so that the borrowing member countries can meet financing needs and enhance their financial positions to face various challenges, especially in such times.
The AMF supports the efforts of its member countries to implement economic and structural reforms, in face of various challenges, through a number of means, including financing the needs of the balance of payments and public budgets, and financing trade through its affiliate the Arab Trade Financing Program, in addition to its role in promoting policy dialogue and consultation on economic, financial and development issues via its various forums and activities, providing technical advice to member countries in the field of economic, fiscal and financial policies, and providing training for government officials in member countries through its Institute for Training and Capacity Building.
Moreover, within the framework of its endeavours to support regional financial integration, encourage inter-Arab trade and investments and link with the main trading partners of Arab countries, the AMF completed the establishment of the Arab Regional Payments Clearing and Settlement Organization “Buna” Platform with the aim of encouraging the use of Arab currencies in inter-financial and investment transactions, and contributing to strengthening compliance in clearing and settling these transactions. It is worth noting that “Buna” Platform is in line with relevant international standards and has international acceptance, as it is seen as a model for alignment with the G20 directions to enhance cross-border payments.