Morocco Considers Tax Amnesty to Boost Foreign Exchange Reserves

According to the daily Al Massae, the Executive would opt for this solution in order to avoid resorting to borrowing and replenish the foreign exchange reserves, which are suffering from the fall of its main providers.

If the post-state of emergency augurs catastrophic scenarios for the Moroccan economy, the new provision, proposed in the 2020 finance bill, could, the newspaper claims, provide a breath of fresh air to the current crisis.

Implemented during the term of the former head of government, Abdelillah Benkirane, the tax amnesty had allowed the repatriation of 27.8 billion dirhams in 2014, or 3 billion dollars.

Currently, with the international crisis, the government has a good opportunity to upgrade the foreign exchange reserves and reduce the budget deficit, by offering incentive measures for the repatriation of funds.