Historic $14B Deal: Morocco & UAE Sign Largest Private Investment in Moroccan History

The pact interweaves water security, renewable energy mastery, and industrial sovereignty – binding Morocco’s future with a 1,400 km electricity superhighway, four desalination jewels, and 25,000 employment opportunities in a $14 billion choreography.

Rabat – The largest private investment in Morocco’s modern history has just been inscribed in the country’s economic annals. Yesterday, the country sealed an extraordinary $14 billion accord with the United Arab Emirates – an injection of unprecedented scale that promises to permanently alter the country’s water and energy equation, while fundamentally reshaping its infrastructure landscape for generations to come.

The ceremonial ink still fresh, the agreement binds Morocco’s government and the National Office of Electricity and Drinking Water (ONEE) with a consortium of financial titans: the Mohammed VI Investment Fund, TAQA Morocco (the local subsidiary of Abu Dhabi’s energy colossus), and Nareva (the energy arm of the royal holding Al Mada).

At MAD 130 billion ($14 billion), this collaboration transcends mere commercial arrangement – it heralds a profound reengineering of critical national infrastructure by 2030.

Central to this ambitious blueprint stands a colossal 1,400-kilometer high-voltage transmission corridor stretching from Western Sahara to Casablanca, complemented by a network of sophisticated seawater desalination facilities.

These projects emerge as the culmination of meticulous diplomatic chess moves, coming just five months after King Mohammed VI’s private visit to Abu Dhabi and 18 months following his official state visit to the Emirati capital, where the groundwork for this Moroccan-Emirati renaissance was carefully laid.

Water security: A thirst for innovation

Desert kingdoms understand water’s value. The consortium’s hydric strategy unfolds with architectural precision: a vast network connecting the Sebou and Oum Rabia river basins, engineered to channel 800 million cubic meters annually across thirsty territories.

The first phase of water transfer between the Sebou and Bouregreg basins became operational in August 2023, successfully diverting approximately 350 million cubic meters to the Sidi Mohammed Ben Abdellah dam, critical for supplying drinking water to the Rabat region.

Four jewels in this water crown will rise across Morocco’s map. In Tanger, a 50-million-cubic-meter annual capacity station will quench the industrial thirst of this burgeoning port hub.

Nador’s installation, six times more ambitious at 300 million cubic meters, will transform the eastern region’s hydric calculus. The agricultural heartland of Souss will benefit from Tiznit’s 350-million-cubic-meter facility – the largest of the quartet. Completing this hydraulic network, either Tan-Tan or Guelmim will host a 100-million-cubic-meter operation to serve the arid southern frontier.

These cutting-edge desalination facilities, engineered to operate exclusively on renewable energy, will collectively produce 900 million cubic meters annually.

Notably, they will maintain competitive pricing at or below MAD 4.50 per cubic meter (excluding tax), aligning with national benchmark rates established for ongoing desalination initiatives – all without requiring public subsidies.

The electric heartbeat: Energy sovereignty reimagined

The consortium’s energy infrastructure vision is anchored by a groundbreaking high-voltage direct current (HVDC) transmission network spanning 1,400 kilometers between Morocco’s southern territories and its central economic hub.

This sophisticated “electricity highway” will connect Dakhla to Casablanca with a 3,000 megawatt capacity, dramatically strengthening energy distribution capabilities while catalyzing economic and industrial development throughout the corridor.

This transmission masterpiece will be fed by 1,200 megawatts of fresh renewable capacity, predominantly harvested from the sun-drenched southern provinces. The geographic strategy is to harness the natural abundance of Morocco’s desert regions, translate it into clean energy, and deliver it to industrial centers at competitive rates.

BY: The Times Union