RABAT (Reuters) – The European Bank for Reconstruction and Development (EBRD) said on Wednesday it would lend Morocco’s Bank of Africa 145 million euros ($156.92 million) to help finance small businesses hit by the coronavirus outbreak.
The money, which will also facilitate import and export transactions, is part of the 1 billion euros the EBRD approved in March to help clients handle the economic fallout from the coronavirus.
The Bank of Africa, formerly known as BMCE bank, is one of the biggest in Morocco with 2019 profits of 1.9 billion dirhams ($193 million).
The coronavirus has hit most economic sectors in Morocco, stopping activity at 142,000 businesses, equivalent to 57% of all formal enterprises, with 6,300 of them closing for good, the planning agency said on Tuesday.
The IMF expects Morocco’s economy to contract 3.7% in 2020 after growing 2.2% in 2019. The planning agency expects the economy to contract 1.8% this quarter.
(Reporting by Ahmed Eljechtimi; Editing by Kirsten Donovan)
