With the numbers of new COVID-19 cases starting to decline, Moroccan decision makers are brainstorming solutions to redress Morocco’s economy.
The CVE, created to mitigate the impact of the COVID-19 pandemic on the Moroccan economy and society, held its sixth meeting on Wednesday, April 29 to implement new economic support measures.
The committee’s members discussed Morocco’s overall economic and financial situation, based on the most recent economic indicators. This allowed them to make forecasts about the country’s macroeconomic and trends in the main economic sectors.
The discussion led the CVE to agree on developing an integrated and coherent recovery plan that will support the national economy after the COVID-19 crisis, based on several sectoral recovery programs.
The CVE also approved a series of measures, including a directive to spread the state budget for additional coronavirus-related expenses over the course of five years, as well as a directive for accountants to include the impact of the pandemic in their audits.
The committee agreed to expand the “Damane Oxygene” guarantee program to cover businesses operating in the real estate sector.
The program, launched on March 27, aims to protect businesses from bankruptcy by deferring their loan payments and allowing banks to set up exceptional overdrafts to help businesses.
Damane Oxygene will cover three months of the companies’ operating expenses, including salaries, rents, and payment of necessary purchases.
The CVE has created a unit to study employers’ applications to receive monthly stipends for their employees. The unit includes representatives from the ministries of finance and labor and members of the General Confederation of Moroccan Enterprises (CGEM), as well as experts from various economic sectors.
The unit’s creation comes after a decree governing employers’ conditions to benefit from the exceptional supportive measures was made official.
The decree states that only employers who are affiliated with the National Social Security Fund (CNSS), who can prove a turnover decline of over 50% due to the COVID-19 crisis, and who have less than 500 employees can benefit automatically from the state’s support.
Companies with a profit decline ranging between 25% and 50% or with over 500 employees have to go through a case-by-case eligibility review before benefitting from the exceptional measures.
The new unit is set to meet every day at 2 p.m. to study employers’ applications filed the previous day.
CVE members are set to meet again on May 8 at 2 p.m. to further discuss amendments to the appropriation bill and long-term financial solutions, adaptable to each economic sector, to support the recovery of Moroccan companies.