Housing Crisis Deepens: Moroccan Lawmaker Demands Urgent Review of Flawed Subsidy Program

In a written question addressed to the Minister of Housing, Nadia Touhami urged the government to conduct a mid-term evaluation of the housing assistance program, after two years of implementation. According to her, this study will make it possible to correct the noted shortcomings and adjust the system in order to impact more beneficiaries. The parliamentarian reported the perverse effects of the standardization of a reference price, based on that of land in major cities, noting that this approach "leads to an artificial inflation of real estate values, thus reducing the purchasing power of modest households, particularly in intermediate cities".

Since the launch of the program in January 2023, housing prices have increased, reaching 250,000 dirhams for an apartment initially valued at 180,000 to 200,000 dirhams. Other properties estimated between 350,000 and 400,000 dirhams are now sold for more than 450,000 dirhams. An inflation that makes public aid ineffective. The PPS deputy also deplored the failure to take into account territorial disparities, construction costs and local commercial values in the implementation of the program, noting that this "principle of positive territorial discrimination [...] could have helped to mitigate spatial inequalities".

"According to the deputies, the establishment of a reference price adapted to each province and prefecture is essential to achieve the set objectives," writes Al Ahdath Al Maghribia. The parliamentarian questioned the minister on the available statistics on this program since its launch, as well as on the measures envisaged to expand access to the greatest number. Launched in January 2023, the housing assistance program aims to facilitate access to home ownership for first-time buyers with modest incomes, residing in Morocco or abroad.