Morocco Raises Butane Gas Prices as Part of Social Welfare Reform

The price of butane gas in Morocco will increase from this Monday, May 20, 2024, following the government’s decision to partially decompensate the subsidy granted to this product. This measure aims, it is said, to rationalize public spending and finance the direct social assistance program, intended for the poorest households.
Concretely, the 3 kg butane gas bottle will now cost 12.5 dirhams, compared to 10 dirhams previously, an increase of 25%. The 12 kg bottle, on the other hand, will see its price increase by 10 dirhams, going from 40 to 50 dirhams.
This increase is part of the reform of the social protection system, initiated by the Moroccan government. The objective is to better target social assistance and make it more efficient. The direct social assistance program, which has already benefited 3.6 million households, is a concrete example of this.
The government assures that this measure will not have a significant impact on the purchasing power of households, as it will be offset by other social measures, such as the increase in salaries in the public and private sectors, the generalization of medical coverage and direct support for housing.
Furthermore, the government reaffirms its commitment to pursuing the reform of the social protection system, with a view to greater social inclusion and a reduction in inequalities. An envelope of 80 billion dirhams has been set aside for this purpose by 2026.
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