Morocco’s Minister of Economy highlights a plan to reduce the budget deficit to below 67% by 2027, emphasizing fiscal discipline and social investment. The 2025-2027 budget aims for long-term debt sustainability while ensuring robust social protection financing. Significant growth in social security coverage and improvements in service efficiency were also noted.
Morocco’s Minister of Economy and Finance, Nadia Fettah, announced that the nation’s budgetary framework for 2025-2027 will prioritize the reduction of the budget deficit and the enhancement of long-term debt sustainability while continuing robust investments in social protection initiatives. During her address to the Finance and Economic Development Committee of Parliament, she stated the goal of decreasing the Treasury’s debt-to-GDP ratio below 67% by 2027.
To achieve this objective, Morocco plans to strengthen fiscal discipline by establishing a medium-term debt target and controlling public expenditures while simultaneously increasing revenues. Minister Fettah noted that there has been positive momentum in both revenue collection and deficit reduction in 2024, indicating a 0.5% decrease in the budget deficit relative to 2023. Additionally, she emphasized the government’s achievements in creating fiscal space to fund social protection programs.
The financial strategy has successfully mobilized MAD 15 billion through reforms in over 100 social programs, complemented by MAD 11 billion generated through tax revenues. More than MAD 71 billion from the public budget for the years 2023-2025 has been earmarked to enhance social security and direct support initiatives. The reform of subsidies has contributed significantly to strengthening the Social Protection and Social Cohesion Fund, allowing for the financing of essential social initiatives, according to Minister Fettah.
Hassan Boubrik, Director General of the National Social Security Fund (CNSS), reported a substantial increase in social security coverage, with 24.7 million Moroccans insured by the end of 2024. Claims submissions have reached 110,719 daily. In response to this growing number of insured individuals, the CNSS has implemented new measures aimed at improving service efficiency and digitization, including an average claims processing time of nine days and a forthcoming electronic medical card system to enhance healthcare accessibility.
In conclusion, Morocco’s strategic focus on fiscal discipline and social investment aims to reduce the budget deficit below 67% by 2027. The successful mobilization of funds through various programs and the expansion of social security coverage reflect the government’s commitment to both economic sustainability and social protection. Furthermore, enhancements in service delivery through digitization are set to improve accessibility for the growing number of insured citizens.
Original Source: www.moroccoworldnews.com
