IFAD, Bank Al-Maghrib push remittances toward rural jobs

Morocco received nearly MAD 122 billion in remittances in 2025, keeping transfers from Moroccans abroad near 8% of GDP for a third year, as officials and international partners push to channel the funds into rural investment, entrepreneurship and job creation.

On the occasion of the International Day of Family Remittances (IDFR), the International Fund for Agricultural Development (IFAD) held a high-level event on Thursday, highlighting the role of remittances in supporting families, strengthening economic resilience, and promoting financial inclusion in Morocco, where they account for around 8% of GDP over the past three years.

Held under the theme “Remittances for Rural Resilience, Entrepreneurship, and Employment,” the event, in collaboration with the French Embassy in Morocco, Bank Al-Maghrib, the Ministry of Agriculture, and the EU Delegation, explored how policies, partnerships, and financial services can boost remittances’ impact on rural resilience, entrepreneurship, and jobs.

“Family remittances are more than just financial flows. They are investments in resilience, dignity, and opportunity,” said Dagmawi Habte-Selassie, IFAD Country Director for Morocco.

The Kingdom ranks among the leading remittance recipients in the MENA region, with inflows reaching around MAD 122 billion in 2025. 

In a statement, the organization said these transfers are a key income source for millions of households and contribute to economic stability. 

Habte-Selassie added that they help families cope with economic and climate shocks while supporting livelihoods, entrepreneurship, investment, and local development.

“France is Morocco’s leading source of remittances, representing about 31% of inflows, or over €3.3 billion annually,” said French Embassy Minister-Counsellor Charles Thépaut, adding that these flows reflect strong Franco-Moroccan ties and support local development.

Yet challenges remain, especially in rural areas with limited access to financial services and underserved households.

The event calls for greater financial inclusion, savings, and investment options for remittance-receiving households, especially in rural areas facing drought, water shortages, and the impacts of climate change.

It also calls for using digital financial tools, linking remittances to savings, investment, and entrepreneurship, strengthening financial literacy and women’s participation, and building partnerships to reduce transfer costs.

Abderrahim Bouazza, Director General of Bank Al-Maghrib, stressed the need to ensure these resources better support productive investment and the development of sustainable economic projects, especially in rural areas. 

Redouane Arrach, Secretary-General of the Agriculture Department at the Ministry of Agriculture, said that when invested productively, remittances can drive entrepreneurship, value creation, and sustainable jobs, especially for rural youth and women.