Moroccan Economic Committee Approves Amendments to Finance Bill

Rabat – The Finance and Economic Development Committee in Morocco’s House of Representatives adopted on Saturday night the first part of the amended Finance Bill 35.20 for the 2020 fiscal year.

The majority of the committee (20) voted for the bill against 10 who voted against it during a meeting on July 11.

The amended Finance Bill seeks to support the mechanisms necessary to boost the resumption of economic activities in Morocco and preserve employment.

The House of Representatives will hold two plenary sessions on Monday, July 13 to vote on the first part of the bill.

During the first session, the Finance and Economic Development Committee will deliver a presentation of the report, and Moroccan MPs will discuss the intentions of the parliamentary groups regarding the project.

The second session will hear the response of Minister of Economy Mohamed Benchaaboun, followed by a vote on the first part of the Finance Bill.

What is in the amendment?

The COVID-19 pandemic has adversely impacted Morocco’s economy, suspending activities in several sectors.

The country is gradually resuming a number of economic activities, but the crisis has pushed the government to implement changes to the 2020 Finance Bill in order to address the unprecedented circumstances.

On July 6, King Mohammed VI chaired a ministerial council in which Minister of Economy Benchaaboun presented his department’s recommendations to respond to the economic crisis.

The official said the amendment of the Finance Bill aims to support the gradual recovery of the Moroccan economy through three pillars.

The first pillar pledges to promote public investment while the second intends to preserve employment in the private sector by tapping into Morocco’s Special Fund for the Management and Response to COVID-19 to provide support for sectors enduring pandemic-induced challenges.

The third pillar seeks to adhere to the country’s administrative reform.

Head of Government Saad Eddine El Othmani acknowledged that the economic repercussions of COVID-19 have been notable, announcing the government’s plans to freeze hiring in the public sector next year.