Morocco’s budget deficit has narrowed to 32.8 billion dirhams (MMDH) at the end of the first eight months of 2024, compared to a deficit of 42.4 MMDH at the same period in 2023, according to data published by the General Treasury of the Kingdom (TGR) in its latest Monthly Bulletin of Public Finance Statistics (BMSFP). This notable decline in the deficit takes into account a positive balance of 22 MMDH generated by the Treasury Special Accounts (CST) and the autonomously managed State services (SEGMA).
Gross ordinary revenues reached 228.8 billion dirhams at the end of August 2024, an increase of 11.7% compared to the previous year. This growth is notably fueled by the increase in direct taxes (+12.4%), customs duties (+8.9%), indirect taxes (+13.2%), registration and stamp duties (+3.5%) and non-tax revenues (+10.5%).
A slight increase in public spending
Ordinary government expenditure increased by 3.7% over the same period, with a marked increase in expenditure on goods and services (+7.5%) and debt interest charges (+18.6%). However, compensation expenditure recorded a sharp drop of 57.8%, reflecting a gradual control of charges related to public subsidies.
The overall expenditure of the general budget amounted to 337.4 billion dirhams, a slight increase of 1.1% compared to 2023. This increase is explained by an increase of 1.6% in operating expenditure and a strong growth of 13.5% in investment expenditure, while the budgeted debt charges decreased by 8.1%.
The revenues of the special accounts of the Treasury totaled 120.1 billion dirhams at the end of August 2024, including 21.7 billion dirhams from payments from the General Budget for common investment expenses. The expenditure issued under these accounts amounted to 98.8 billion dirhams, leaving a positive balance of 21.3 billion dirhams.
On the other hand, the autonomously managed State services (SEGMA) recorded a drop in their revenues of 10.8% to 1.58 billion dirhams, while their expenditure also decreased by 1.6%, reaching 908 million dirhams.
Sharp increase in customs revenue
Net customs revenues exceeded 60 billion dirhams, an increase of 10% compared to the same period in 2023. This increase is mainly due to the increase in revenues from customs duties (+8.8%), import VAT (+10.5%) and the domestic consumption tax (TIC) on energy products (+9.5%).
Reduction of compensation costs
Expenditure related to compensation has fallen dramatically, with a decline of 57.8%, reaching 8.06 billion dirhams at the end of August 2024. This level of expenditure represents 48% of the forecasts included in the 2024 Finance Law.
The reduction of these charges and the optimization of public finances allow Morocco to maintain a certain budgetary balance despite current economic constraints, particularly in terms of debt management and control of public spending.
LNT
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– 2024-09-13 20:56:47
