Morocco’s government debt is sustainable as efforts are ongoing to cut it further below 70% of GDP, finance minister Nadia Fettah Alaoui said. The minister made the remark during an interview on le360, following criticism by opposition MPs who warned of the risk of debt unsustainability. Debt to GDP ratio was brought below 70% this year and the government “is committed to maintain this downward trend,” she said. The government would rather meet rising social spending through reforms that increas tax revenue and through fiscal consolidation, he said. This fiscal consolidation earned Morocco improved ratings by S&P and Fitch ratings, while the IMF and World Bank praised in their recent reports the resilience of Morocco’s public finances.

Source: The North Africa Journal June 21, 2024 17:18 UTC