Speaking during a joint plenary session of the two Houses of Parliament devoted to the presentation of the main lines of the 2025 finance bill (PLF), Ms. Fettah indicated that the government is working to make this bill a new milestone in the process of strengthening confidence in public finances in recent years.
She noted that this process was “welcomed by various international financial institutions, which expressed confidence in the economic and financial prospects of the Kingdom.”
The minister also affirmed that the government will ensure the sustainability of public finances, by adopting a set of reforms necessary to free up financial margins.
These reforms include in particular the reform of the Organic Law relating to the finance law and the continued implementation of the framework law on tax reform, in order to establish tax equity and broaden the tax base without increase the tax pressure on the national entrepreneurial fabric, she clarified.
It is also about continuing to rationalize and optimize public spending, while improving the collection of State revenue and increasing the profitability of the public portfolio.
Ms. Fettah noted that these reforms aim to continue to control public finances and limit the budget deficit to 4% of gross domestic product (GDP) in 2024, to reduce it to 3.5% in 2025 and to 3%. in 2026, while maintaining the debt ratio below 69% of GDP by 2026, which will make it possible to restore the financial margins necessary to pursue the various development projects.
And to maintain that through the implementation of the various projects, strategies and reforms planned as part of the PLF 2025, the government is targeting economic growth of 4.6%, taking into account developments in the national context, the economic situation among Morocco’s main trading partners and their repercussions on the dynamics of national economic activity.
The minister also noted that the achievement of this growth is based on the assumptions of inflation limited to 2%, an increase in external demand, excluding phosphates and derivatives, of 3.2%, a cereal harvest of 70 million quintals (Mqx) and an average price of butane gas at 500 dollars/ton.