The African Development Bank has approved a €100 million loan to Gotion Power Morocco to support the development of Africa’s first integrated lithium iron phosphate battery gigafactory.
The facility will be located in the Rabat-Salé-Kénitra Free Trade Zone and will produce battery cells and packs for electric vehicles. The bank also plans to mobilize up to €141 million from other financial partners, acting as mandated lead arranger under the New African Financial Architecture for Development.
The project is being led by China-based battery manufacturer Gotion High-Tech and will have an initial production capacity of 10 gigawatt-hours, with plans to expand to 100 gigawatt-hours.
The development is expected to strengthen Morocco’s position as a manufacturing hub for electric vehicles, energy storage and green technology, while supporting the localization of battery production in Africa.
“Battery storage is the missing link in Africa’s clean energy transition,” said Kevin Kariuki, the African Development Bank Group’s Vice President for Power, Energy, Climate and Green Growth.
“A facility of this scale, powered primarily by renewable energy, strengthens the foundations for the large-scale integration of solar and wind power, which our grids increasingly depend on.”
The first phase is expected to create more than 600 direct jobs and achieve a local industrial integration rate of 70%, supporting domestic suppliers, skills development and the growth of Morocco’s electric mobility ecosystem.
Achraf Tarsim, the African Development Bank’s Country Manager for Morocco, said the project would strengthen the country’s industrial competitiveness and support the development of an African battery and electric vehicle value chain.
The investment also reflects growing efforts to process critical minerals and manufacture clean energy technologies within Africa rather than exporting raw materials for production overseas.
By expanding battery manufacturing and energy storage capacity, the project is expected to support electric mobility, renewable energy deployment and Africa’s participation in global clean technology supply chains.
