Morocco’s Budget Deficit Widens to 39 Billion Dirhams in October 2019

The budget deficit is up 5.5 MMDH compared to October 2018. This situation results from a less significant increase in revenue compared to expenditure, including investment.

According to TGR statistics, tax revenues increased by only 3.6%, to 177.8 MMDH. Corporate tax (IS) fell by 3.3% (excluding the social solidarity contribution) while income tax (IR) increased by 4.4%, excise duties by 6.5%, VAT by 4.9% and stamp duties by 2.2%.

As for current expenditure, it increased by 8.5%, due to the increase in the wage bill and purchases of goods and services (+6.4%), debt service (+10%) and compensation expenditure (+22%).