The European Investment Bank (EIB), the European Union's lending arm, announced on Friday a new loan of €500 million ($578 million) to Morocco for developing infrastructure in areas devastated by the earthquake three years ago. This second tranche brings the Bank’s total commitment to the Greater Atlas reconstruction programme to €1 billion, according to an official statement. The funding will be implemented in coordination with the Atlas Development Agency, which oversees the rebuilding efforts. The announcement marks a significant milestone, shifting from emergency response to systematic reconstruction based on resilient standards. This decision reaffirms the EU’s long-term solidarity with Morocco following the deadliest earthquake the kingdom has witnessed in decades.
The new loan will primarily finance basic infrastructure in the hardest-hit areas, including roads, schools, and healthcare facilities, the statement said. All reconstructed structures must meet higher earthquake-resistance standards to ensure the safety of local populations against future seismic risks. Additionally, the funding requires improved energy efficiency, aligning with the objectives of the EU-Morocco Green Partnership. By imposing these dual criteria, the EIB aims to rebuild the Atlas region more safely and sustainably than before. This approach represents a shift from mere emergency repair to constructing a more resilient and climate-adapted future.
The programme’s transition to large-scale implementation was announced during a high-level meeting held in Rabat at Morocco’s Ministry of Economy and Finance. The meeting was attended by EIB Vice-President Ioannis Tsakiris, Moroccan Budget Minister Fouzi Lekjaa, Atlas Development Agency Director Saïd Laith, and EU Ambassador to Morocco Dimitris Tzanchev. The presence of these senior officials underscores the strategic importance both sides place on the success of the reconstruction process. The gathering served as a platform to coordinate efforts and accelerate project implementation on the ground. It also allowed for reviewing achievements made in previous phases and planning future steps according to Moroccan authorities’ priorities.
The EIB revealed that its intervention in Morocco following the earthquake unfolded in three successive and well-defined phases. The first phase consisted of urgent financing in the weeks immediately after the disaster, supporting debris removal, equipment provision, and temporary housing. In December 2023, the programme moved to a transitional phase designed to bridge the gap between emergency response and the organised long-term reconstruction programme. The current loan represents the third and most extensive phase – the wide-scale deployment of projects according to government-set priorities. This financial support is accompanied by parallel technical assistance aimed at strengthening institutional capacities and ensuring the quality of rebuilt infrastructure.
The programme also includes a strong social dimension focused on gender equality and social inclusion, developed in coordination with relevant ministries and the Atlas Development Agency. A detailed action plan with specific measures and monitoring indicators has been established for the education, health, and infrastructure sectors. EIB Vice-President Tsakiris stated that the new tranche reflects the Bank’s commitment to supporting Morocco during a critical stage of the Greater Atlas reconstruction. He added that the financing will help build safer, more energy-efficient facilities that are truly adapted to the needs of local residents. The devastating magnitude 6.8 earthquake that struck Morocco on September 8, 2023, killed over 2,900 people and caused widespread damage to mountain villages and infrastructure south of Marrakesh, making this European support a vital lifeline for the affected communities.