Climate and Agriculture: The World Bank Approves a $4 Million Grant for Morocco

The recent grant of $4 million complements the $250 million initially approved in December 2024 for the program. This additional funding focuses on addressing demand constraints faced by small and medium farmers, aiming to accelerate the transition from rainfed cereal production to conservation agriculture. The program is expected to benefit approximately 1,200 farmers across 20,000 hectares. Support will be provided in the form of electronic vouchers that will reduce production costs by offering mechanization services such as direct seeding and access to climate-resilient seeds. Additionally, the project will assist cereal and legume producers—including women and youth—in accessing financing and reaching more favorable markets by effectively pooling their harvests. It aims to facilitate financial inclusion for these farmers and improve their access to lucrative markets through smart aggregation of production generated under the project. Management, monitoring, and evaluation of the project will be enhanced to assess the adoption of new practices, measure gains in yield and agricultural income, and quantify benefits related to climate change mitigation, particularly in reducing greenhouse gas emissions. Furthermore, the World Bank will provide technical assistance for the design and deployment of the electronic voucher system and impact evaluation. The agri-food sector is crucial for Morocco's economy and the livelihoods of its rural population. Consecutive years of drought have highlighted the vulnerability of rainfed cereal production and underscored the need to transition to more resilient production systems. The additional funding supports this transition by promoting conservation agriculture, which will stabilize yields, improve soil and water management, and reduce exposure to climate shocks. Moreover, the program promotes synergy by mobilizing collaboration between the International Bank for Reconstruction and Development (IBRD) and the International Finance Corporation (IFC). It also contributes to the AgriConnect initiative by supporting employment in cereal and legume value chains and enhancing food and nutrition security. “By promoting the shift to climate-smart practices and experimenting with innovative and digital support for smallholders, this additional funding will help Morocco create green jobs in rural areas and strengthen national food security,” emphasizes Ahmadou Moustapha Ndiaye, division director at the World Bank for the Maghreb and Malta. “It consolidates the momentum of the program approved last year and strengthens our collaboration within the framework of a unified approach across the World Bank Group.” In conjunction with measures aimed at improving market access and strengthening the capacities of public and private actors, the program seeks to help farmers produce and market safer, higher-quality food while increasing their incomes, ensuring continuity and coherence with the initial funding.