Morocco Aims to Reduce Public Wage Bill in 2020 Budget Plan

The ratio to GDP thus goes from 10.3% in 2019 to 9.88% in 2020, according to the Presentation Note of the 2020 Finance Bill (PLF). This rate represents the average recorded in the MENA region and in OECD countries (10%).

As the wage bill is the first item of public expenditure, a fund of more than 119.67 billion dirhams will be released, due to the State’s contributions to social security and retirement, estimated at 18.4 billion dirhams against 11.2 billion dirhams for 2019, an increase of 6.7%.

The 2020 PLF also concretizes the adoption of the measures agreed within the framework of the social dialogue agreement of April 2019. In this sense, the financial impacts are estimated, in 2019, at 5.260 billion dirhams, at 6.080 billion dirhams in 2020 and at 2.910 billion dirhams in 2021.