Akhannouch tightens budgetary controls to curb unnecessary spending

Saturday 22 March 2025 - 12:20

By: Dakir Madiha

Akhannouch tightens budgetary controls to curb unnecessary spending

In response to pressing economic challenges and significant ongoing reforms, Morocco's Prime Minister, Aziz Akhannouch, has issued a stern directive to his team, mandating stricter budget management. The primary goal is to limit operational expenditures while optimizing investments.

Budgetary discipline and cost reduction

In his communication dated March 13, Akhannouch emphasizes the urgent need to decrease public spending, particularly concerning personnel costs, water and electricity consumption, as well as the leasing of real estate and vehicles. The modernization of the administration also entails pooling infrastructure and resources to eliminate redundancies and enhance efficiency.

Investments under close scrutiny

The Prime Minister warns against the fragmentation of investments. Moving forward, priority will be given to projects aligned with the Royal High Orientations, royal agreements, and international commitments. Investment proposals must be realistic and based on innovative financing methods, such as public-private partnerships.

Ambitious economic objectives

Akhannouch aims for an average GDP growth rate of 4.2% from 2026 to 2028, with a budget deficit kept at 3% and inflation stabilized at 2%. To achieve these targets, every dirham spent must be justified and aligned with the country's strategic priorities.

The implementation of these directives will be closely monitored during upcoming budgetary meetings. It remains to be seen whether this new financial discipline will deliver results on the ground.