Italy swaps $100 million debt owed by Morocco

Italy will swap $100 million in debts owed by Morocco into public investments, under an accord concluded between the two sides.

Moroccan Minister of Economy and Finance Fathallah Oualalou, who made the announcement during the weekly Cabinet meeting, said the amount must necessarily be used to finance public investments part of the governmental program.

Oualalou also briefed the Cabinet on the meetings he held recently in Washington during the session of the International Monetary Fund and the World Bank.

He announced that the Saudi fund and the United Arab Emirates fund will resume their activities in Morocco, through the financing of several projects. The UAE fund is interested by the Moroccan roads program, Oualalou said.

A 68-member Moroccan delegation, led by Oualalou undertook last February a two-week long Gulf tour that led them to the United Arab Emirates, Oman, Bahrain, Kuwait, Saudi Arabia and Qatar and that was crowned by the signing of several cooperation accords.

Talks covered means of increasing investments, fostering contacts between Morocco and Gulf countries' private sectors, lowering the obstacles hampering the development of trade and promoting air and sea links.

Total Gulf investments in Morocco are estimated at around $1.0 billion, mainly in real estate, tourism and oil sectors.