OPEC loans $100 million to Morocco to promote financial inclusivity
Financial technology (fintech) is expanding across the Middle East and enabling more people to use financial tools. But some cultural barriers remain.
The Organization of the Petroleum Exporting Countries (OPEC) has announced a loan to Morocco aimed at promoting financial inclusivity.
OPEC’s Fund for International Development signed a $100 million loan to the government of Morocco to “build an inclusive financial sector,” the fund said in statement April 11.
The agreement, which is named the Financial and Digital Inclusion Program, stipulates that Morocco provide individuals, families and small businesses with affordable financial services such as insurance, credit and banking. The program will focus on using technology to promote alternative financing models to traditional banks. Regarding the businesses, it will target digital entrepreneurs. The World Bank is co-financing the program with OPEC, according to the statement.
Why it matters: OPEC aims to help Morocco recover from COVID-19 and promote economic modernization with the loan. Strict antivirus measures had a negative effect on the Moroccan economy, severely hurting the tourism industry, for example.
