Strategic Priorities for Morocco's 2027 Budget
On August 5, 2026, the Moroccan government, led by Prime Minister Aziz Akhannouch, officially initiated preparations for the 2027 budget by issuing a comprehensive guideline memorandum that outlines the strategic priorities essential for the upcoming financial legislation. This memorandum emphasizes four core pillars: economic development, territorial development, strengthening the social state, and the continuation of essential reforms. These priorities are positioned as critical components for the successful formulation of the 2027 financial project, promoting a disciplined approach to public spending and a call for all ministries to rationalize their expenditures.
Emphasis on Public Spending Efficiency and Infrastructure Development
The 2027 financial project, which is anticipated to be discussed during the next legislative term following the elections scheduled for September 23, 2026, aims to continue large-scale investments while addressing social and regional disparities through a dedicated budget of 210 billion dirhams. The government has reiterated a strong commitment to enhancing state resources and rationalizing public spending to align developmental aspirations with available financial capacities, ensuring the sustainability of macroeconomic and financial balances.
To achieve these goals, the government has mandated ministries to strictly limit proposals for new financial positions to only those that are absolutely necessary. Additionally, there is a firm directive to minimize operational costs, particularly in areas such as utilities, vehicle rentals, hospitality, and conference organization. The memorandum also calls for significant reductions in expenses related to vehicle acquisitions and the construction or renovation of administrative premises, linking public institution subsidies to their performance efficiency and project progress.
Further investment in infrastructure is a key focus, with plans to extend the high-speed train line from Kenitra to Marrakech, covering 430 kilometers, as well as the introduction of regional train services in Casablanca, Rabat, and Marrakech. Strategies such as the "Airports 2030" initiative aim to increase airport capacity to accommodate 80 million passengers, alongside plans to expand the Royal Air Maroc fleet to 200 aircraft by 2037. The document underscores a commitment to water security through the continuation of national seawater desalination programs, targeting a production of 1.7 billion cubic meters by 2030.
The government is also launching a new generation of integrated territorial development programs, with initial estimates suggesting a total budget of approximately 210 billion dirhams over eight years, along with an annual transfer of at least 12 billion dirhams to local regions starting in the 2027 fiscal year to support structured projects.
As a response to recent disasters, significant financial support has been allocated for emergency interventions, with 2.52 billion dirhams designated for earthquake victims and an additional 3 billion dirhams set aside to aid those affected by floods from 2024 to 2026. Furthermore, the overall cost of social dialogue and purchasing power measures for the public sector is projected to reach about 49.7 billion dirhams in 2027, with another 13.2 billion dirhams planned for subsidies on butane gas, sugar, and flour.
In the realm of education reform, plans include expanding the "leadership institutions" model to encompass 6,562 primary schools (80% of public schools) and 1,363 middle schools by the 2027-2028 academic year. The government has also outlined its commitment to legislative reforms aimed at revising the family code and criminal law, as well as enhancing the official status of the Amazigh language in public administration and services.
The government projects a growth rate of 5.3% for 2026, with efforts to control the budget deficit to 3% and manage public debt to 65% of GDP, with a target reduction to 63% by the end of 2029. This comprehensive approach reflects the government's dedication to maintaining financial equilibrium while fostering sustainable development across Morocco.
As reported by hespress.com.
