Morocco’s budget deficit has widened significantly in 2025, reaching 50.5 billion dirhams (USD 5.55 billion) by the end of September, driven by increased government spending despite a rise in tax revenues and a positive ordinary balance.
According to the latest figures published by the General Treasury of the Kingdom (TGR) in its September Public Finance Statistics Bulletin, the deficit nearly doubled from the 26.6 billion dirhams (USD 2.93 billion) recorded during the same period in 2024.
This year’s deficit includes a negative balance of 2.8 billion dirhams (USD 310 million) from special Treasury accounts (CST) and services managed autonomously by the state (SEGMA), the TGR report noted.
Ordinary revenues rose sharply to 310.7 billion dirhams (USD 34.18 billion), an increase of 17.4% year-on-year.
This growth was attributed to a broad uptick in all revenue categories: direct taxes increased by 25.1%, indirect taxes by 10.2%, customs duties by 4.2%, registration and stamp duties by 8.1%, and non-tax revenue by 23.4%.
Despite this strong revenue performance, ordinary expenditures also surged, climbing 18.9% to reach 280.2 billion dirhams (USD 30.82 billion), leaving a positive ordinary balance of 30.5 billion dirhams (USD 3.36 billion).
Total expenditure under the general budget hit 396 billion dirhams (USD 43.56 billion), up 9.1% from the previous year. This was fuelled by a 19.8% rise in operating expenses and a 7.2% increase in investment spending. Meanwhile, budgeted debt charges saw a 14.3% decline.
Debt interest charges, however, rose 13.2% to 37.2 billion dirhams (USD 4.09 billion). This reflects a 20.4% increase in domestic debt interest, which grew to 29.8 billion dirhams (USD 3.28 billion), while external debt interest declined by 8.8% to 7.4 billion dirhams (USD 810 million).
Special Treasury accounts reported revenues of 141.8 billion dirhams (USD 15.60 billion), including 21.5 billion dirhams (USD 2.37 billion) from common investment charges of the general budget—slightly down from 22.6 billion dirhams (USD 2.49 billion) in 2024.
Expenditures from these accounts reached 145.8 billion dirhams (USD 16.04 billion), which included 4.5 billion dirhams (USD 500 million) allocated for tax refunds, rebates, and restitutions.
As Morocco navigates post-pandemic recovery and implements major public investment projects, fiscal pressures are likely to remain a key challenge for the government heading into 2026.
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