The assistance is part of CIH BANK’s support measures for Moroccan companies to stimulate the economic recovery from the impact of the COVID-19 pandemic, EIB said in a press release.

More broadly, the financing is part of the European Union’s external lending mandate and falls under the Bank’s COVID-19 response and the Team Europe programme.

The support is intended to help develop the private sector by focusing on SMEs, increasing competitiveness and creating jobs, the Bank added.

"The financing agreement will benefit from the EIB’s expertise in promoting green financing and optimising the provision of financial services to SMEs and, in particular, the smallest companies," according to the same source.

“I am very pleased to announce this first financing contract with CIH BANK, a long-standing player in the Kingdom of Morocco’s banking sector. Faced with the consequences of this unprecedented health crisis, it is our responsibility to strengthen support for companies by providing financing and assistance tailored to their needs,” said EIB Director General Luca Lazzaroli, as quoted in the release.

"The private sector has a key role to play in Morocco’s recovery and economic dynamism. We are proud to be able to support the country through our expertise and investment. Thanks to this agreement, we will also be boosting employment, particularly for young people," he pointed out.

"With our first financing partnership with the EIB, CIH BANK is strengthening all the measures it has taken to support small and medium businesses and cushion the impact of the health crisis on the economy," underlined the Chairman and Chief Executive Officer of CIH BANK Lotfi Sekkat.

"Even though we are in the midst of a pandemic, the economy must get back on its feet and we all need to contribute to its recovery. I think that although they have suffered, the companies that were faring well before the crisis will bounce back thanks to the support and help provided by our country’s economic operators,” Sekkat stressed.

The EIB has been a key partner for Morocco for 40 years. The EIB finances the development and implementation of important projects in vital sectors of the Moroccan economy such as business support, agriculture, water and sanitation, education, health, transport and even renewable energy, the release said.