Morocco's 2025 Budget: A Strategic Vision for National Progress

Saturday 16 November 2024 - 12:02

In a recent address to the Chamber of Representatives, the Minister Delegate for Budget, Fouzi Lekjaa, affirmed that the 2025 Finance Bill (PLF) embodies a strategic continuation, focusing on priorities aligned with the government’s ongoing reforms. He emphasized that the budget reflects a strong commitment to the public good, rooted in competence and dedication.

Lekjaa highlighted that the PLF 2025 is a significant political milestone, directly tied to critical issues at all levels, including global development challenges. As such, the budget serves as a response to pressing needs, underpinned by a political vision focused on multiple strategic pillars.

The minister underscored Morocco’s impressive adaptability amidst global geopolitical tensions, economic uncertainties, and risks to international relations. This resilience reflects the strength of Morocco's economic and social structures.

“The political aspect of the project balances the evolving realities and potential responses. It is firmly guided by constitutional dimensions, with royal strategic orientations playing a central role, preceding the development model and the government’s program,” Lekjaa stated. He further noted that the royal strategic dimension acts as an infallible guarantor, steering Morocco's direction despite shifting internal and external circumstances. Comparing Morocco today to that of twenty-five years ago under King Mohammed VI clearly illustrates the nation's transformative journey.

Lekjaa also pointed out that the King’s informed political choices remain a fundamental reference for the finance laws, complemented by the development model and the government program, alongside adjustments responding to both internal and external transformations.

The PLF 2025 is structured around three key axes: social, economic, and developmental, with a strong focus on governance and reform. The success of ambitious social programs relies on sustainable economic development and the effectiveness of structural reforms.

The government is committed to promoting productive investment to fund social welfare, firmly rejecting any notion of institutionalizing poverty. The social protection initiative, strongly supported by the King, marks a historic milestone after years of evolution, with the government fully engaged to meet the set targets by 2025.

Lekjaa acknowledged that although the legal framework for social protection was initially lacking, the government succeeded in establishing the necessary legal and institutional structures, even under challenging circumstances. However, he clarified that the true success of social protection requires ongoing commitment and adjustments, as it is a societal project demanding continuous refinement.

Addressing criticisms about the inflated number of beneficiaries in the RAMED system, Lekjaa explained that the previously reported figure of 18 million included registrations between 2012 and 2022, while the actual number was 10.7 million, with 800,000 already covered. By the end of September, 11.38 million beneficiaries were enrolled in the mandatory health insurance program (AMO).

The government has implemented all necessary measures to reach its goals, with contributions tailored to individuals' financial capacities, such as 0.5% of the minimum wage for self-employed individuals. Over 600,000 people are now paying contributions, representing 30% of those enrolled. Lekjaa emphasized that these efforts will continue.

The second pillar of social protection is direct aid. The ongoing debate focuses on determining eligibility thresholds to identify beneficiaries. Previously, 76,000 widows received 350 dirhams for each of their first three children under six years old. Today, 85,000 widows receive 350 dirhams per month per child, with plans to increase the amount to 375 dirhams in 2025 and 400 dirhams in 2026.