The proposed operation is for a loan of EUR 120 million to contribute to the financing of the Financial Inclusion, Entrepreneurship and SME Support Programme for Economic Recovery (PIFE) in Morocco. PIFE is a continuation of the COVID-19 Response Support Programme (PARC 19), approved by the Bank in 2020, providing support to economic recovery by deepening reforms on financial inclusion and entrepreneurship.

It constitutes sector budget support backing reforms that will be implemented to achieve the following specific objectives: (i) support financial inclusion and (ii) boost entrepreneurship and the resilience of MSMEs and (iii) simplification of procedures.

The Programme is built around two main guidelines:

(i) support the authorities in the implementation of reforms aimed at boosting the private sector which drives economic recovery, by facilitating financing; and

(ii) better support MSMEs which make up 95% of the country's economic fabric. PIFE will be implemented in 2021/2022.