Reforming Banking Debt Collection for Economic Growth
The Moroccan Minister of Justice has emphasized the critical need for reforming the banking debt collection system, identifying it as a strategic initiative that holds direct implications for improving the business environment and bolstering the national economy. This call to action comes against the backdrop of the adverse effects that non-performing loans have on the financing of enterprises. The Minister outlined that the reform strategy is based on a comprehensive approach that relies on an accurate diagnosis of the existing challenges while aiming to strike a balance between economic effectiveness and the safeguarding of rights.
Enhancing Legal Framework and Promoting Alternative Dispute Resolution
This statement was made during a national conference organized in collaboration with Bank Al-Maghrib, held on March 24, 2025, in Rabat, under the theme: "Effectiveness of the Legal Framework for Collecting Non-Performing Loans: Practical Challenges and Development Perspectives." The conference saw the participation of the Chief Public Prosecutor, the Governor of Bank Al-Maghrib, and several ministry officials and personalities. In an effort to modernize the system, the Minister indicated that the ministry is actively working on enhancing the legal framework pertaining to debt collection, particularly through a draft law on civil procedure. This aims to simplify procedures and improve the effectiveness of notifications and executions, alongside leveraging digitization as a key mechanism for modernizing justice and enhancing transparency.
Furthermore, the ministry is keen on developing alternative dispute resolution mechanisms by promoting amicable solutions to alleviate the pressure on courts and expedite the resolution of cases, especially in the banking and financial sectors, while also aligning with international standards. The Minister highlighted the importance of engaging credit institutions in this initiative through digital initiatives for data exchange with the judiciary, contributing to the acceleration of procedures. He stressed the necessity of adopting actionable recommendations supported by follow-up and evaluation mechanisms to ensure tangible results and sustainability of the reform.
As reported by marrakech7.com.
