Mohammed VI Investment Fund: 10 Key Things You Must Know

Overview

The Mohammed VI Investment Fund (FM6I) is a strategic sovereign wealth fund established in Morocco in 2020 under the guidance and High Instructions of His Majesty King Mohammed VI. Conceived as a pivotal driver of Morocco's economic recovery and long-term development, the Fund’s purpose is to catalyze productive investment, enhance private sector growth, and support large-scale infrastructure projects and companies by mobilizing significant national and international capital. What makes FM6I particularly notable is its dual bottom line approach—seeking both financial returns and impactful social, economic, and environmental outcomes. This article reveals insightful facets of the Fund’s mission, structure, governance, and its emerging role as a pillar of Morocco’s social-economic transformation and regional influence.

1. Creation and Purpose

Established in 2020 following speeches by King Mohammed VI that emphasized boosting productive sectors and strategic investment, FM6I serves as a catalyst for financing Morocco's development projects through equity investments and partnership mobilization. With an initial capital of 15 billion Moroccan dirhams (approximately 1.5 billion USD), the Fund aims at supporting companies struggling to raise capital, encouraging job creation, and driving public-private partnerships for infrastructure development. It is designed to complement the private sector by investing in projects and companies overlooked by traditional private financiers.

2. Legal Structure and Governance

FM6I is constituted as a Moroccan joint-stock company (société anonyme) fully owned by the state and governed by specific legislation (law n°76-20 of December 31, 2020). Oversight is provided by a Board of Directors chaired by the Minister of Finance and composed of representatives from ministerial departments and independent members. Two specialized committees—the Audit Committee and the Strategy and Investment Committee—ensure thorough governance, with a focus on transparency, accountability, and compliance with best international standards, positioning the Fund as a model institution in governance and responsible investment practice.

3. Strategic Vision and Investment Principles

The Fund’s vision extends beyond financial returns, focusing on accelerating Morocco’s economic, social, and environmental transitions. It adopts a “double bottom line” approach aiming to deliver both profitable and high-impact investments. Key principles include investment additionality—targeting sectors not adequately addressed by private financing, applying patient capital with a long-term horizon, and adhering to high environmental, social, and governance (ESG) standards. FM6I endeavors to mobilize private capital through risk-sharing and creating multiplier effects, effectively leveraging public funds to attract larger private-sector investments.

4. Focus Areas and Economic Impact

FM6I concentrates on enhancing Moroccan companies’ capacity to invest and create jobs, with particular attention to sectors crucial for national development such as infrastructure, industry, tourism, agriculture, and innovation. Its interventions strive to make Moroccan companies regional and global competitors by strengthening their financial foundations. The Fund supports digital and environmental transitions, playing a vital role in the sustainable development agenda and contributing to job creation and enhanced economic diversification.

5. Embedding Environmental, Social, and Governance (ESG) Standards

From inception, FM6I has been committed to integrating international ESG principles into its investment decision-making processes. Assistance from development agencies helped embed these criteria to align with the Paris Agreement and ensure environmentally sustainable, socially responsible, and transparently governed projects. This commitment not only aligns FM6I with global responsible investment practices but also supports Morocco's climate goals and sustainable development agenda.

6. Mobilizing National and International Partnerships

The Fund leverages significant financing by partnering with national and international investors across public and private sectors. Through structuring and managing thematic and sector-specific funds, FM6I facilitates financial support for startups, SMEs, and infrastructure projects. Its ability to pool resources and create innovative financial instruments, such as subordinated debt products, enhances capital access for Moroccan enterprises and supports long-term investment projects.

7. Major Strategic Initiatives and Infrastructure Projects

FM6I plays a central role in Morocco’s largest private-sector infrastructure deals. Notably, it is a key partner in a landmark Moroccan-Emirati consortium alongside Taqa Morocco and Nareva, overseeing low-carbon energy, water desalination, and electricity transmission projects valued at approximately 130 billion dirhams (14 billion USD). These projects are slated for completion by 2030 and include large-scale renewable energy capacity development, seawater desalination plants powered by green energy, and a 1,400 km high-voltage direct current transmission line enhancing national grid resilience and energy sovereignty.

8. Strengthening Private Sector and SME Ecosystem

In addition to large infrastructure investments, FM6I promotes the growth of the SME ecosystem by supporting equity financing and innovative financial products. It recently selected several management companies to set up and manage investment funds dedicated to startups and SME sectors. This initiative aims to accelerate private investment, increase job creation, and foster innovation, positioning Morocco as a regional hub for entrepreneurship and private equity.

9. Commitment to Transparency and Ethical Standards

FM6I adheres strictly to transparency, ethics, compliance, and sustainability principles. Its governance framework ensures continuous and independent oversight, alongside rigorous risk management and internal controls. The Fund also subscribes to the United Nations Principles for Responsible Investment, marking its dedication to responsible investment and ethical practices in all activities.

10. Future Prospects and Regional Influence

Looking ahead, FM6I plans to expand its capital base by mobilizing an additional 30 billion dirhams to finance an estimated 120 to 150 billion dirhams in investments. The Fund is expected to further consolidate Morocco’s infrastructure and economic landscape by supporting innovation, green energy transitions, and international partnerships, including increasing its footprint in Africa. Its recent partnerships with the African Development Bank reflect ambitions to strengthen investment financing and foster economic development across the continent.

Conclusion

The Mohammed VI Investment Fund stands as a transformative instrument designed to accelerate Morocco’s economic and social development. With a strategic focus on productive investment, ESG accountability, and public-private collaboration, it has swiftly ascended as a vital economic actor shaping Morocco’s future. From empowering SMEs to steering historic infrastructure megaprojects, FM6I exemplifies how sovereign funds can be leveraged to create multifaceted development impacts. As Morocco advances toward ambitious sustainability and regional leadership goals, the Fund’s ongoing evolution and partnerships will undoubtedly continue to captivate investors, policymakers, and development practitioners alike.