The Board of Executive Directors of the World Bank has approved a US $500m package for Morocco. The funds are exclusively meant for the Financial and Digital Inclusion Development Policy (DPF) program. It is expected to give a fillip to key policy reforms that will be designed to create a favorable digital transformation setting in the country.
The Government has already initiated the necessary reforms and the current DPF will go a long way to launch other programmatic operations. These include advancing financial inclusion, access to cutting-edge digital infrastructure, and specialized digital services for both businesses and individuals. Additionally, because of the changing environment and the World Bank package, the private sector is expected to grow exponentially. Easy access to finance for start-ups and youth-led enterprises are assured because of this.
Surprisingly, it is the Covid-19 outbreak that has put matters in the required perspective for Morocco. The country has understood the critical need for digitalization to ensure business continuity. It has also been proved that Morocco is ready to absorb the optimized effects of digital transition as it scaled up quickly in this direction during the horrors of the pandemic. Jesko Hentschel, World Bank Maghreb Country Director, puts it clearly when he says, “Through the current support, we aim to boost this potential and leverage digital transformation for more inclusive growth.”
The pandemic has also resulted in a shift in the existing priorities and objectives of the DPF program. The focus is now on supporting the efforts of the Government to transition to a changing economy. The emphasis will be on digitalizing vital services for individuals and businesses and strengthening the flexibility of firms and households.
As a spill-over benefit of the US $500M funds infusion, there will be an overall improvement in the quality of life. Access to finance through the digital route and social protection programs will allow individuals and households to expand their businesses and invest in health and education.