Morocco’s aim to reduce the debt burden level to 60% of GDP by 2021.
Rabat – Morocco’s central bank, Bank Al-Maghrib said that the total of bank lending reached MAD 968 billion in 2019, a slight increase of approximately 0.9% compared to MAD 870 billion in 2018.
In its 2019 report, published on Wednesday, Bank Al-Maghrib pointed out that the banking sector provided 88% of the total funds granted to enterprises, while 12% is funded by the bond market.
Approximately 48% of the loans went to the service sector, 45% to the secondary sector, including the industry sector, the water and electricity sector, in addition to the construction and public works sector. The remaining 7% went to the primary sector.
The governor of Bank Al-Maghrib Abdellatif Jouahri also presented the figures before the house of representatives on Wednesday during a session dedicated to the financing of the national economy.
President of the Court of Auditors Driss Jettou stated that Morocco’s debt burden doubled since 2009, increasing from MAD 345.2 billion to MAD 750.12 billion in 2019, compared to MAD 706,8 billion in 2018.
Speaking at the parliament, Jettou added that the figure represents 65.3% of the GDP, an increase of MAD 27.4 billion compared to 2018.
He pointed out that the objective of reducing the debt level to 60% of GDP by 2021 “would be difficult to achieve.”
The public debt, however, increased to MAD 901.1 billion, equivalent to 81.4% of GDP, according to Jettou.