In Morocco, Households’ Unpaid Debts Attract a Foreign Fund

The project has not yet been approved, but it is already shaping a new market in Morocco. In its official disclosure document, IFC says it is preparing a €60 million vehicle called “DARP NPL EOS Morocco,” intended to purchase non-performing loans and real estate assets held by Moroccan financial institutions.

The detail is important: the operation does not target only unpaid debts. IFC also refers to “real estate owned assets,” that is, properties that have already entered the portfolios of financial institutions. The document specifies neither their location nor their exact nature, nor whether they consist of homes, business premises or other properties. But their inclusion within the project’s scope shows that the non-performing credit market also involves real estate recovered by banks.

On Bladi.net : Morocco Loan Crisis: 8.9% Non-Performing Debt Risk

The vehicle is to be financed in equal parts by IFC and EOS Holding GmbH, with each able to commit up to €30 million. IFC describes EOS as a German investor that has specialized for more than 50 years in distressed assets, with experience in purchasing and managing portfolios of unpaid loans and recovered real estate assets.

A project still awaiting a decision

IFC nevertheless classifies the file as “Pending Approval.” The projected date for consideration by the board of directors is set for 15 October 2026. This is therefore not yet a definitively approved operation, but an investment that has been proposed and made public before review.

The targeted receivables may concern individuals, SMEs and companies. IFC notably mentions unpaid consumer loans, corporate receivables, loan portfolios and arrears owed by micro, small and medium-sized enterprises.

On Bladi.net : Morocco Household Debt Surges 6.9% in 2025 Record Growth

IFC’s stated objective is to enable Moroccan financial institutions to sell part of their non-performing loans, in order to free up capital, restart new lending and help the debtors concerned bring their financial obligations into compliance. But for the households and companies concerned, the arrival of a specialized player also means that certain debts or real estate guarantees could be managed by an investor whose business is precisely to buy, enhance and recover distressed assets.

IFC presents this project as its first DARP investment in Morocco. If approved, it would therefore mark the Kingdom’s entry into a more structured system for purchasing unpaid loans and real estate recovered by banks.