Rabat – According to the Royal Court’s announcement on Tuesday evening, the Moroccan government approved the creation of a 4. 1 billion euro fund “to give a new dynamic to public investment” in the face of the nation’s economic crisis. However, observers believe the action demonstrates the Moroccan government’s eagerness to meet challenges brought on by international developments, particularly following the Ukrainian war.
The “VI Investment Fund,” which was founded in 2020, announced in a statement after a meeting of the Council of Ministers presided over by Moroccan King Mohammed VI.
The fund aims to “give public investment a new dynamism by directing it to the infrastructure and ambitious sectoral strategies projects, in order to enhance the competitiveness of the national product and strengthen national sovereignty, at the level of food, health, and energy,” according to the statement’s additional text.
“According to the announcement, King Mohammed VI named Mohammed Benshbaoun, the Kingdom’s ambassador to France, as “General Manager of the Mohammed VI Investment Fund” during the meeting of the Council of Ministers.
He shared the role of minister of finance between 2018 to 2021 with a veteran banker before being named the Moroccan ambassador to Paris in October.
He will have two weaknesses when he leaves his diplomatic position to take over as the chairman of the sovereign fund.
According to local media, this fund will be supplied with 45 billion dirhams (4. 1 billion euros), a third of which comes from the state budget and the remaining two of national and international investment entities.
The war in Ukraine has had an impact on many nations, including Morocco, which is looking for the effects, particularly with regard to the high costs of energy and basic necessities. However, the government of Aziz Akhenoush has promised to protect the poor classes in order to preserve social progress and strengthen it.
While the administration works to improve social and economic conditions realistically and away from populist sermons, the opposition Justice and Development Party’s attempts to invest in the economic crisis through the agitation of the street through its union arm failed.
The first of its kind with a nation outside the union, Morocco and the European Union signed an agreement on Tuesday to establish a “green partnership” to strengthen their cooperation in the areas of renewable energy and combating global warming as part of Morocco’s efforts to invest in clean and renewable energy sources.
According to government statistics, the year 2009 saw the beginning of an ambitious plan to transition the energy sector with the goal of producing 52% of the nation’s electricity from renewable sources by the year 2030, up from the present rate of 20%.
The Kingdom also has structural water stress as a result of the sequence of drought years, which has an impact on the economy’s primary agricultural sector and creates management issues for water resources.
According to observers and economic experts, Morocco has created a clearly defined strategic strategy to get out of the crisis with the least amount of harm.
Morocco announces a fund for investments to address its economic problems.
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