New Government’s First Finance Bill Targets Jobs, Purchasing Power and Income Tax Relief

The new Moroccan government’s first finance bill is built around jobs, purchasing power and tax relief, Al Akhbar daily commented. It is the first budget of the executive led by Fatima Ezzahra El Mansouri, which Al Akhbar says seeks to turn social priorities into practice while preserving macroeconomic balances.

Protecting purchasing power is central, particularly for the middle class, which bears the weight of inflation in housing, health and education. The government pledges to extend social protection through a gradual rise in the minimum wage, better family allowances and wider access to direct housing aid.

On tax, the bill provides for a progressive revision of income tax by 2031, intended to redistribute wealth more fairly and encourage formal employment. The reform would raise the exemption threshold and adapt the brackets in favor of the middle and working classes.

According to Al Akhbar, the adjustments would exempt about 87% of civil servants and employees, significantly reducing their monthly burden and boosting their capacity to save.

The bill also pays particular attention to vulnerable groups. Eligible widows would receive a significant increase in monthly financial support, while the minimum retirement pension would be raised gradually by 2031. The newspaper says the aim is a more inclusive safety net.

The program also seeks to stabilize the prices of basic goods, water and electricity through targeted interventions and modernized distribution channels. The creation of 34,000 budgetary posts, split among education, health, the interior and defense, is presented as a response to young people’s expectations. Al Akhbar says the package reconciles budgetary rigor with strong social ambition.

About Khalid Al Mouahidi 5043 Articles
Khalid Al Mouahidi : A binational from the US and Morocco, Khalid El Mouahidi has worked for several american companies in the Maghreb Region and is currently based in Casablanca, where he is doing consulting jobs for major international companies . Khalid writes analytical pieces about economic ties between the Maghreb and the Mena Region, where he has an extensive network