The International Monetary Fund has approved a new two-year agreement with Morocco, granting the country access to approximately $4.5 billion under the Flexible Credit Line. The decision, announced on Thursday, April 3, aims to bolster Morocco’s foreign currency reserves and provide a safeguard against potential economic shocks at a time of widespread global uncertainty.
The IMF’s decision reflects its confidence in Morocco’s economic track record and institutional stability. The North African nation qualified for this arrangement thanks to its solid economic foundations, strong policy frameworks, and consistent implementation of sound economic strategies. Moroccan authorities have made it clear that they plan to treat the credit line as a precautionary tool, with no intention of drawing on the funds unless absolutely necessary.
This is Morocco’s second time securing a Flexible Credit Line; the first was approved exactly one year ago, on April 3, 2023. Prior to that, the country benefited from four successive Precautionary and Liquidity Line arrangements between 2012 and 2020, signaling a long-standing relationship with the IMF aimed at financial stability and reform support.
Kenji Okamura, IMF Deputy Managing Director and acting chair at the time of the announcement, commended Morocco’s economic resilience, particularly in the face of recent challenges like recurring droughts that have hit agricultural output and driven up unemployment. He also highlighted Morocco’s commitment to pushing ahead with wide-ranging structural reforms focused on building a more inclusive, sustainable, and private sector–driven economy.
This new agreement is seen as a vote of confidence in Morocco’s ability to maintain macroeconomic stability while navigating global headwinds and continuing its push toward long-term reform.
