The African Development Bank (AfDB) has approved a $110 million loan to support the construction of Africa\u2019s first gigafactory in Morocco, backing the continent\u2019s push to build a domestic electric vehicle battery industry.<\/p>\n\n\n\n
The loan to Gotion Power Morocco will finance the development of an integrated lithium iron phosphate (LFP) battery plant in the Rabat-Sal\u00e9-K\u00e9nitra Free Trade Zone, the bank said Friday.<\/p>\n\n\n\n
The bank said it also plans to mobilize up to $162.6 million in additional financing from development partners for the project under the New African Financial Architecture for Development initiative, where it is serving as mandated lead arranger.Morocco\u2019s EV sector is booming. The country hosts more than 250 companies that manufacture cars or their components, including Stellantis and Renault, as well as Chinese, Japanese, American and Korean factories. Across Africa, the use of electric vehicles is surging as soaring prices and fuel shortages compel countries to opt for cleaner and cheaper transport.Led by China\u2019s Gotion High-Tech Co. Ltd., the Moroccan project will establish the first integrated battery manufacturing plant in Africa, the Middle East and North Africa region. The factory is expected to produce 10 gigawatt-hours of battery cells and packs annually for electric vehicles during its first phase, with plans to expand capacity to 100 GWh.<\/p>\n\n\n\n
\u201c Battery storage is the missing link in Africa\u2019s clean energy transition,\u201d Kevin Kariuki, the bank\u2019s vice president for Power, Energy, Climate and Green Growth, said in a statement. \u201cA facility of this scale, powered primarily by renewable energy, strengthens the foundations for the large-scale integration of solar and wind power, which our grids increasingly depend on,\u201d he said.<\/p>\n\n\n\n
Kariuki said the project would help deliver reliable, low-carbon electricity while creating green jobs and strengthening supply chains needed to support Africa\u2019s energy transition.<\/p>\n\n\n\n
The project is also expected to boost Morocco\u2019s industrial competitiveness, according to Achraf Tarsim, the African Development Bank\u2019s country manager for Morocco.<\/p>\n","protected":false},"excerpt":{"rendered":"
The African Development Bank (AfDB) has approved a $110 million loan to support the construction of Africa\u2019s first gigafactory in Morocco, backing the continent\u2019s push…<\/p>\n","protected":false},"author":2,"featured_media":4228,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[38,15,47,4,7,354,36],"tags":[891,892,22,166,33,41,37],"class_list":["post-4227","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-africa","category-business","category-energy","category-international","category-mena","category-morocco","category-technology","tag-afdb","tag-african-development-bank","tag-business","tag-energy","tag-ev","tag-morocco","tag-technology"],"yoast_head":"\n