Casablanca, Morocco's largest city and economic center, faces increasing challenges related to mobility and urban transport. With a population of 3.2 million in the city and nearly 8 million in the wider Casablanca-Settat region, demand for efficient public transportation has grown alongside rapid suburban expansion. Despite investments in infrastructure, many areas remain underserved by public transit, resulting in high rates of private car use, frequent traffic jams, and elevated air pollution.
The Moroccan government aims to address these issues through ambitious climate and energy strategies. By 2030, it seeks to reduce energy consumption in the transport sector by 24.5%. Currently, about one third of Morocco’s annual energy demand comes from transportation—primarily road vehicles concentrated around Casablanca and Rabat-Salé—which contributes significantly to national CO2 emissions.
As part of preparations for hosting the 2030 Football World Cup, Morocco is increasing investment in sustainable mobility infrastructure. In Casablanca-Settat, heavy congestion leads to longer journey times and increased emissions; traffic jams can raise average CO2 output by up to 40% due to slower speeds and idling engines.
Public transport options include four tram lines connecting suburbs with downtown Casablanca as well as an expanding bus network. The national railway system (ONCF) links major cities across Morocco and features a high-speed TGV service between Tangier, Kenitra, Rabat, and Casablanca—with plans for future extension to Marrakesh. To further improve regional connectivity, authorities are developing a new RER (Réseau Express Régional) network that will connect outlying areas with central Casablanca while integrating with existing tram services.
KfW Development Bank is playing a role in these efforts through co-financing arrangements with the World Bank under a framework agreement signed in October 2024. The initiative supports expansion of railway lines, stations, energy systems, maintenance facilities, and institutional capacity at ONCF using a Programme for Results (P4R) approach. The World Bank is providing USD 350 million via IBRD loans; KfW is contributing a EUR 200 million low-interest loan plus a EUR 2 million grant for additional measures.
According to KfW Group: "Together with the World Bank, KfW is thus contributing to the realisation of efficient and sustainable climate-friendly transport services outside city limits, which, in addition to positive climatic effects, also improves the population's access to jobs and social services and helps to reduce regional disparities. This also contributes to improving the living conditions of the population."
These joint efforts aim not only at reducing greenhouse gas emissions but also at enhancing access to employment opportunities and essential services for residents throughout greater Casablanca-Settat.