Morocco has announced plans to deliver monthly direct financial aid to nearly one million underprivileged families, initiating a first-of-its-kind system that has been anticipated for years.
Prime Minister Aziz Akhannouch, quoted in an official statement, clarified that each beneficiary will receive at least 500 dirhams (€46) per month, regardless of family size. The implementation of this programme requires a budget of 25 billion dirhams (around €2.29 billion) for 2024, said government spokesperson Mustapha Baitas in late October.
These targeted family subsidies, discussed for a decade without fruition, are part of a broader social reform instigated by King Mohammed VI in 2020. This initiative also includes the expansion of social security coverage for all Moroccans, which commenced in 2021.
The mandatory health insurance, formerly only available to civil servants and private sector employees, already benefits over 3.8 million non-salaried workers and their families, according to the MAP news agency. This medical coverage has also been extended free of charge to over 10 million underprivileged individuals, with the state underwriting their contributions.
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These social reforms are being deployed amid an economic slowdown and deep-seated social disparities impacting the country’s 36 million residents. The nation is predicted to register a growth rate of 2.7% and inflation of 6.1% in 2023, based on the latest estimates from Morocco’s central bank.
Until now, social aid has been indirect and untargeted, with Morocco subsidising certain consumer products via a compensation fund. This fund is due to undergo reform – the date for which has not been set – to make way for targeted aid for the underprivileged.
