Rabat: The Board of Directors of the African Development Bank Group has approved a £100 million loan to Gotion Power Morocco to finance the development of an integrated cathode-to-cell lithium iron phosphate (LFP) battery gigafactory in the Rabat-Sal©-K©nitra Free Trade Zone.

According to Emirates News Agency, the Bank also plans to mobilize up to an additional £141 million from financial partners to support the implementation of this strategic project, acting as Mandated Lead Arranger under the New African Financial Architecture for Development (NAFAD).

Led by Gotion High-Tech Co. Ltd., a top-tier global battery manufacturer headquartered in Hefei, China, and listed on the Shenzhen Stock Exchange, the project will establish the first integrated battery manufacturing plant in Africa and the Middle East and North Africa (MENA) region. The facility is set to produce 10 gigawatt-hours (GWh) of battery cells and packs for electric vehicles in Phase 1, with plans to expand capacity to 100 GWh. This investment reinforces Morocco’s ambition to become a leading hub for global electric mobility and green technology value chains.

Beyond its transformative impact on Morocco’s industrial sector, the project is anticipated to create more than 600 direct jobs in its first phase and achieve a local industrial integration rate of 70%, thereby supporting skills development and the growth of local industrial ecosystems.

“This gigafactory will be a major catalyst for strengthening Morocco’s industrial competitiveness and for accelerating its emergence as Africa’s manufacturing hub for sustainable mobility industries,” said Achraf Tarsim, the African Development Bank Group’s Country Manager for Morocco. “It will help foster an African industrial ecosystem for batteries and electric vehicles while promoting the local beneficiation of critical minerals essential to the energy transition.”