Casablanca – The General Treasury of the Kingdom has reported significant changes in the country’s public finances, revealing that expenditures under the compensation tax reached approximately $834 million by the end of September 2024, marking a steep decline of 60.9 percent compared to the same period last year. This decline is notable as the Treasury emphasized that these disbursements represent only 47.5 percent of the total expectations outlined in the 2024 Finance Law.

Overall operating expenditures in the country amounted to $20.9 billion. Salaries and wages accounted for a substantial portion, totaling $12.5 billion, which reflects an increase of 7.2 percent. Meanwhile, equipment expenses increased by 3.8 percent to reach $5 billion. In contrast, shared cost expenses saw a significant reduction, dropping by 33 percent to $2.4 billion.

The Treasury highlighted a positive trend in tax-related revenues, noting that the share of the general budget from tax exemptions, deductions, and refunds rose by 44.3 percent. This increase was driven by a rise in refunds from corporate taxes, which reached $206 million, up from $133 million, and refunds from internal value-added tax, which climbed to $727 million from $508 million.

Experts suggest that these shifts in expenditure and revenue reflect broader economic trends and the government’s ongoing commitment to fiscal discipline. By reducing reliance on subsidies while simultaneously increasing tax refunds, the government aims to create a more sustainable economic environment.

These financial developments not only demonstrate the Kingdom’s efforts to manage its fiscal policies amid changing economic conditions but also highlight the necessity of balancing support for essential subsidies, including those for butane gas, sugar, and national flour. As the country navigates these challenges, the Treasury’s data serves as a critical indicator of financial health and the effectiveness of its economic strategies, ultimately impacting the livelihoods of its citizens.

With the outlook for the remainder of the year still uncertain, stakeholders are closely monitoring how these financial trends will influence public services and economic growth, underscoring the importance of sound fiscal management in achieving long-term stability.