What is the purpose of FOGALEF?

Guarantee loans granted by banks for the financing of home ownership for members of the Mohammed VI Foundation for the Promotion of Welfare Projects for the Education-Training Sector.

Who is eligible ?

Any member of the Mohammed VI Foundation for the Promotion of Welfare Projects for the Education-Training Sector who meets the following criteria:

  • The overall repayment charge of all loans ≤ 45% of net wages;
  • Do not own an individual housing unit.
What are the eligible loans ?

Bank loans granted under the following conditions:

  • Purpose: financing the purchase of the main housing unit or land acquisition and / or construction of the main housing unit.
  • Percentage of cover: up to 100% of the loan, except ancillary costs not covered by the guarantee FOGALEF.
  • Type: subsidized loans. Part of the interest is supported by the Mohammed VI Foundation and additional loans. The capped amount and the maximum duration of subsidized loans are as follows:
Refund Maximum amount subsidized loan Maximum duration (including grace duration) Complementary loan
2% DH 200.000 20 years Yes
4% DH 80.000 10 years No

Depending on their overall income, members are entitled to an additional loan to the limit MAD 800,000 (including the subsidized loan).

  • Franchise: to finance the construction, a franchise (principal + interest) is granted during the release period which should not exceed 24 months.
What are the rates for loans contracted?

Rates can be fixed or variable. The effective date to take into consideration is the date the loan agreement is signed. The maximum rate is determined as follows:

  • Fixed rate: maximum rate of 6.50% per annum (pre-tax) with a review every two years for new loan applications.
  • Variable rate: 6.25%. These rates vary every two years for new loan applications.
What is the percentage of the guarantee?

The guarantee covers 100% of principal of the loan agreement, plus interest and, where appropriate, default interest.

How to apply ?

Through a bank selected by the eligible beneficiary.