AfDB Approves €450M Guarantee to Boost OCP’s Green Investment in Morocco

The guarantee serves as a flagship example of how innovative financial instruments can channel global capital into climate-smart industrial transformation in Africa.

The Board of Directors of the African Development Bank Group (AfDB) has approved a non-sovereign partial credit guarantee of up to €450 million to support the Office Chérifien des Phosphates (OCP) Group, marking the first time this financing instrument has been deployed in Morocco. The guarantee aims to unlock long-term international funding for OCP’s ambitious green investment strategy.

Through this mechanism, OCP will be able to mobilize up to €530 million from global financial institutions. All funding will be raised under OCP’s Green Finance Framework, and dedicated to its 2023–2030 Green Investment Programme, which seeks to transform the company into a global model for sustainable fertilizer production and resource-efficient industrial operations.

Achraf Tarsim, AfDB Country Manager for Morocco, emphasized the strategic value of the partnership: “By leveraging our AAA rating to attract international capital, we are supporting OCP Group’s transition toward low-carbon fertiliser production, renewable energy development, and sustainable water management—key pillars for food and climate security across the continent.”

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Driving Africa’s Green Industrial Transformation

OCP is one of the world’s largest phosphate producers and an essential contributor to global fertilizer supply chains. Its transformation toward low-carbon production is crucial not only for Morocco but for agricultural systems across Africa and beyond.

The AfDB-backed financing will support projects that:

• Reduce greenhouse gas emissions across production processes

• Scale up clean and renewable energy, including solar and wind projects

• Improve water efficiency, desalination capacity, and circular water use

• Promote soil health and sustainable agricultural practices in Africa

The programme is expected to have one of the most significant climate impacts in the region. Between 2026 and 2038, OCP’s portfolio aims to avoid over 43 million tonnes of CO₂ emissions, while catalyzing innovation in green industrial technologies.

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Boosting Employment and Local Development

Beyond environmental benefits, OCP’s green investments are designed to generate widespread socio-economic dividends. The initiative will:

• Create thousands of new jobs, with a strong focus on youth and women

• Support local suppliers and industrial clusters

• Strengthen Morocco’s role as a continental hub for sustainable fertilizers

• Enhance long-term resilience of African food systems

These job-creating initiatives reinforce OCP’s long-standing commitment to inclusive growth and community development in Morocco and across Africa.

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Aligned with AfDB’s Strategic Priorities

The project advances key objectives under the African Development Bank’s Four Cardinal Priorities:

• Cardinal Priority 1: Unlocking Africa’s financial potential and mobilizing capital for sustainable development

• Cardinal Priority 4: Developing resilient, value-creating infrastructure

The guarantee serves as a flagship example of how innovative financial instruments can channel global capital into climate-smart industrial transformation in Africa.

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OCP: A Strategic Global Player in Sustainable Agriculture

Recognized as a leading force in global fertilizer markets, OCP Group plays a central role in supporting sustainable agriculture, improving soil fertility, and boosting crop yields across Africa and worldwide. Its commitment to renewable energy, water stewardship, and low-carbon production positions the company as a global pioneer in green industrialization.

The AfDB’s backing signals strong international confidence in OCP’s long-term strategy and Morocco’s growing leadership in climate and food security efforts.