Casablanca – In a decisive move to address urgent financial needs, the Moroccan government has approved a draft decree to open additional budget appropriations totaling $1.44 billion for the fiscal year 2024. The announcement was made by Fouzi Lekjaa, the Minister Delegate in charge of the Budget, during a session with the parliamentary Finance Committee. This significant financial maneuver is designed to support public institutions, bolster financial stability, and fund strategic projects.

The newly approved funds are crucial for maintaining the stability of essential services and supporting key sectors. Notably, $412.37 million will be directed to the National Office of Electricity and Drinking Water. This allocation is part of the state’s commitments under the protocol agreement leading to the 2023-2027 program contract, aimed at ensuring stable prices for water and electricity.

Moreover, $360.82 million will be used to strengthen the resources and capital of certain public institutions and enterprises, including Royal Air Maroc (RAM), enhancing its competitiveness. An additional $670.10 million is earmarked to cover employee expenses resulting from recent social dialogue agreements between the government and social partners.

In a recent study meeting organized by the Majority Group in the House of Representatives, Lekjaa presented comprehensive data on the sustainability of public finances, emphasizing its critical role in implementing social protection projects. He highlighted that maintaining financial stability is a shared responsibility between the government and parliament and is essential for continuing to fund various public projects and policies. Financial sovereignty, according to Lekjaa, remains a top priority.

Addressing the balance between funding developmental projects and maintaining macroeconomic stability, Lekjaa revealed that approximately $10.31 billion has been mobilized over the past three years (2021-2023). During this period, tax revenues increased annually by 12.5%, while the tax burden decreased from 23% to 21%. The mobilized resources are expected to fund over $9.28 billion in additional expenditures, including $4.12 billion dedicated to social protection initiatives and $4.64 billion for the social dialogue by 2026.

Furthermore, the royal program for direct support in acquiring primary housing has seen significant progress. As of now, 12,000 beneficiaries have been recorded, with an annual cost estimated at $927.84 million. Lekjaa also clarified the number of beneficiaries of the medical assistance program “RAMED,” correcting misconceptions about the figures. The actual number of beneficiaries transferred from “RAMED” to “AMO Tadamon” in December 2022 is 10 million, not the previously reported 18 million.

All former “RAMED” beneficiaries were automatically enrolled in “AMO Tadamon” and given a year to register in the unified social registry to continue receiving benefits. After this period, the number of beneficiaries stabilized at 3.8 million families, equivalent to about 10 million individuals, matching the numbers at the end of 2022.

The draft decree will be submitted to Parliament for ratification in the upcoming Finance Law. The Minister Delegate to the Minister of Economy and Finance, responsible for the Budget, will oversee the implementation of this decree, which will be published in the Official Gazette.

This strategic allocation underscores the government’s commitment to financial stability and social welfare, ensuring that essential services and key sectors continue to receive the support they need.