Total Project Cost
Investment Required
Stakeholders
Countries
Project Overview
Description
Construction of a highway link connecting the Moroccan Fez-Oujda Highway to the Algerian East-West Highway, completing a critical section of the Trans-Maghreb Corridor and enhancing connectivity between Morocco and Algeria.
Objectives
Complete a critical missing link in the Trans-Maghreb Highway Corridor; improve cross-border connectivity between Morocco and Algeria; reduce transit times and transportation costs for passengers and freight; enhance road safety along the corridor; support regional integration within the Arab Maghreb Union; facilitate trade through improved infrastructure and border crossing procedures; create employment opportunities during construction and operation phases.
Strategic Importance
This highway link represents a vital connection in the Trans-Maghreb Corridor, which aims to connect Morocco, Algeria, Tunisia, Libya, and Mauritania along the Mediterranean coast. By completing this strategic connection, the project will enhance regional integration in North Africa and facilitate trade flows between countries that have historically had limited economic interaction. The project holds particular significance for regional stability and cooperation, potentially contributing to improved political relations between Morocco and Algeria. From an economic perspective, the link will reduce transportation costs and times for both passenger and freight traffic, enhancing the competitiveness of regional trade.
Technical Specifications
Technology & Design
The highway will employ modern design standards appropriate for the Mediterranean climate and terrain of the region, with considerations for high wind conditions in certain sections. The project will incorporate international best practices for highway safety and border crossing facility design.
Capacity & Size
Approximately 60 km of highway (divided between Moroccan and Algerian territories); design capacity for 10,000 vehicles daily; 2 major interchanges; modern border crossing facilities; 2 service areas
Technical Details
Four-lane highway with design speed of 120 km/h; Modern border crossing facilities with separate lanes for passenger and commercial traffic; Advanced safety features including crash barriers, clear zones, and electronic monitoring; Service areas with fueling, rest, and commercial facilities
Development, Implementation & Financial Details
Development Timeline
Pre-feasibility studies (2024-2025); Detailed feasibility and design studies (2025-2027); Bilateral arrangements and financing (2027-2028); Implementation (2029-2032)
Latest Implementation Updates
UPDATEDFinancing Structure
The project will require bilateral coordination for financing, with potential sources including: national budget allocations from Morocco and Algeria; multilateral development bank financing (AfDB, Islamic Development Bank, World Bank); bilateral development finance institutions; and Arab regional funding mechanisms such as the Arab Fund for Economic and Social Development.
Capital Structure
Given the strategic importance and bilateral nature of the project, public financing is expected to cover approximately 90% of costs, with potential for limited private sector participation in operations and maintenance.
Project Timeline
Start Date
June 2024
Expected Completion
December 2032
Development Timeline
Pre-feasibility studies (2024-2025); Detailed feasibility and design studies (2025-2027); Bilateral arrangements and financing (2027-2028); Implementation (2029-2032)
Project Status History
Status 2022
Pre-Feasibility
Status 2024
Pre-Feasibility
Additional Project Details
Preparation Funding Gap
USD 4.50M
Construction Timeline
Highway construction: 2029-2032; Border facilities development: 2030-2031
Legal & Financial Advisors
NOVEC (Morocco) and CTTP (Algeria) providing initial technical studies; financial advisory services pending appointment
Market Analysis
Market Analysis
Current cross-border traffic between Morocco and Algeria is constrained by geopolitical factors and infrastructure limitations. With improved relations and enhanced connectivity, traffic volumes are projected to grow from current levels of approximately 2,000 vehicles daily to 5,000-7,000 vehicles daily by 2035.
Market Demand
The highway will be designed to handle up to 10,000 vehicles daily, with provisions for both passenger and freight traffic. The corridor will serve populations in northeastern Morocco and northwestern Algeria, with wider benefits for the entire Maghreb region.
Key Stakeholders
Project Sponsor
Arab Maghreb Union with national implementation units in Morocco and Algeria
Key Parties
Moroccan National Highway Company (ADM), Algerian National Highway Agency (ANA), Arab Maghreb Union Secretariat
Investors
African Development Bank, Islamic Development Bank, Arab Fund for Economic and Social Development
Contractors & Operators
To be determined through bilateral procurement processes following project structuring
Risk Assessment
General Risk Assessment
Critical risks include: political and diplomatic factors affecting bilateral cooperation; technical coordination challenges across borders; security considerations in border regions; and varying implementation capacities. Risk mitigation strategies include structured bilateral coordination mechanisms, phased implementation approach, and comprehensive stakeholder engagement.
Regulatory Risks
Requires harmonization of highway standards, border management procedures, and security protocols between Morocco and Algeria. Key regulatory risks include potential delays in establishing efficient border crossing procedures and challenges in maintaining consistent operational standards.
Impact Assessment
Environmental Impact
The project will require comprehensive Environmental and Social Impact Assessment. Key environmental considerations include habitat protection in semi-arid regions, water resource management during construction, and minimization of landscape impacts in areas of natural beauty. Climate-resilient design will account for increasing temperatures and extreme weather events.
Social Impact
The highway is expected to generate approximately 1,500 direct jobs during construction and 200 permanent jobs during operation. Beyond employment, social benefits include improved connectivity for previously isolated communities, enhanced access to services across borders, new economic opportunities through trade, and potential peace dividends through increased people-to-people contact.
Investment Opportunities
Private Sector Opportunities
Limited but significant opportunities for private sector participation in: construction contracting; maintenance services; border facility operations; service area development and operations; and technical services for project implementation.
Next Steps & Agreements
Next Steps
Complete comprehensive pre-feasibility studies; establish bilateral coordination mechanism; develop detailed technical specifications; secure financing commitments; advance diplomatic engagement to support project implementation
Offtake Agreements
Bilateral agreement between Morocco and Algeria establishing shared maintenance responsibilities, operational standards, and border management protocols. Given the historical political sensitivities, robust governance arrangements will be essential for successful implementation.
Contact Information
Eng. Mohamed El Kharmoudi, Director of Development, ADM, Email: contact@adm.co.ma; Eng. Abdelkader Hammou, Director General, ANA, Email: contact@ana.dz
