Morocco plans to reduce its budget deficit under 67% by 2027, focusing on fiscal discipline and social protection. The government anticipates a decrease in the Treasury’s debt ratio, while projects have already raised funds for extensive social programs. Growth in social security coverage is notable, with measures to enhance efficiency and digitization underway.
Morocco’s Minister of Economy and Finance, Nadia Fettah, announced that the budgetary programming for 2025-2027 aims to decrease the budget deficit and achieve long-term debt sustainability while prioritizing investments in social protection. During her address to the Finance and Economic Development Committee in Parliament, she emphasized the government’s target of reducing the Treasury’s debt ratio to below 67% by 2027.
To reach this target, Morocco plans to enhance fiscal discipline by establishing a medium-term debt objective, controlling public expenditures, and increasing revenues. Minister Fettah highlighted improvements in revenue collection and deficit reduction, with the budget deficit projected to decline by 0.5% of GDP in 2024 compared to 2023. She also mentioned progress in creating fiscal space for financing social protection initiatives.
The financial strategy has yielded MAD 15 billion through reforms affecting over 100 social programs and generated MAD 11 billion from enhanced tax revenues. Furthermore, over MAD 71 billion from the public budget for 2023-2025 has been allocated towards expanding social security and direct financial support. Reform of subsidies has significantly bolstered the Social Protection and Social Cohesion Fund, facilitating crucial social initiatives.
Hassan Boubrik, Director General of the National Social Security Fund (CNSS), noted substantial growth in social security coverage, projecting that by the end of 2024, 24.7 million Moroccans would be covered, with daily claims submissions averaging 110,719. To better serve the increasing number of insured individuals, the CNSS has implemented measures to enhance service efficiency and digitization. Claim processing times have been reduced to an average of nine days, and an electronic medical card system is anticipated to improve healthcare accessibility.
In summary, Morocco’s strategic financial program for 2025-2027 aims to lower the budget deficit and ensure sustainable debt management. The government is committed to fiscal discipline, with a focus on enhancing revenue and controlling public expenditure while providing substantial support for social protection initiatives. With considerable improvements in social security coverage, the enhanced strategy seeks to uplift the welfare of the Moroccan populace.
Original Source: www.moroccoworldnews.com
