Providing loans tailored to each project

PROPARCO consequently does not provide short-term loans, which are always available from local banking systems, and its medium-term loans are tailored to the depth of each market.

Providing loans tailored to each project

Loan activities focus on strengthening physical infrastructure (energy, telecoms, transport) and financial infrastructure (banks) and on financing projects in industry and service sectors which create high levels of employment or are structuring for a region (agribusinesses and tourism in particular).

In this activity, PROPARCO positions itself – as it does with equity investments - as a long-term investor and has the same target for all its products: to support responsible long-term investments. Its loan activities aim to be complementary to those of commercial banks. PROPARCO consequently does not provide short-term loans, which are always available from local banking systems, and its medium-term loans are tailored to the depth of each market. PROPARCO therefore provides senior, subordinated and participative loans.
Since 2007, PROPARCO has scaled up its capacities for loan activities thanks to a subparticipation agreement with AFD which comes in addition to cofinancing and risk-sharing mechanisms that are already in place with the other European development agencies.

PROPARCO can therefore provide loans ranging between €5M and €100M (with a €13M average) with maturities of between 5 and 20 years depending on the requirements of the project.

Our range of financial products in Morocco

In the framework of infrastructure or industrial projects that may involve specific financial structures (PPPs, private electricity producers, concessions) and require long-term foreign currency resources, Proparco allocates financing in the form of long-term and/or structured loans or quasi-equity.

Last update in August 2010