EBRD invests in Morocco’s green railway bonds

The European Bank for Reconstruction and Development (EBRD) is investing up to MAD 400 million (€38.4 million) in Morocco’s railway sector through a MAD 2 billion (€192 million) green bond issued by the Office National des Chemins de Fer du Maroc (ONCF), according to the bank statement.

The bond aims to refinance projects for modernising and electrifying the railway network, upgrading electric rolling stock, enhancing safety units and substations, and integrating transport planning systems. These projects are expected to improve energy efficiency and reduce greenhouse gas emissions.

The EBRD is the sole international investor in the bond, which aligns with the Climate Bond Standards and includes a guarantee from Tamwilcom, Morocco’s state guarantee provider.

Sue Barrett, Director of the EBRD’s EMEA Infrastructure team, highlighted the bank’s commitment to Morocco’s sustainable railway growth and capital market development. ONCF’s CEO, Mohamed Rabie Khlie, noted that the bond reflects the company’s dedication to sustainable transport solutions.

This investment builds on the partnership between EBRD and ONCF, established in 2022, and supports ONCF’s new investment plan.

Attribution: Amwal Al Ghad English

Subediting: M. S. Salama