Morocco forecasts stable 2020 fiscal deficit of 3.5% GDP

0
80

Morocco’s fiscal deficit is expected to be unchanged at 3.5% of gross domestic product in 2020, the government’s draft budget showed.

The estimate, which edges closer to meeting Morocco’s medium-term debt-to-GDP goal of 3%, was based on expected privatisation receipts of 3 billion dirhams ($313 million).

Other factorncing the deficit in 2020 include the cost of a public wage hike set at 6 billion dirhams and the allocation of 26 billion dirhams to boost the purchasing power of the populace, it said.

The cost of subsidies of sugar, semolina and cooking gas would be cut to 13.6 billion dirhams in 2020 from 18 billion this year.

The portion of the budget going to education would expand to 72.4 billion dirhams while that of health would jump to 18.6 billion dirhams.

Both have been identified as priority spending areas in the draft budget.

Peace PIAK