Latest news with #Fettah
Morocco World
14-05-2025
- Business
- Morocco World
Moroccan Government Spends Over $10 Billion to Shield Citizens from Rising Costs
Rabat – Between 2022 and 2025, Morocco allocated more than MAD 100 billion ($10 billion) to subsidize basic goods, said Minister of Economy and Finance Nadia Fettah during a Tuesday session at the Chamber of Counselors. The intervention came in response to concerns raised by the Haraki group about consumer protection amid global economic turbulence and the spiking inflation that struck Morocco in recent years. Fettah acknowledged inflation's weight on Moroccan households and said the government took early steps to ease that pressure. Yet, the problem persists. Inflation in Morocco is estimated to have reached 2.2% in the first quarter of 2025, up sharply from 0.7% just three months earlier, according to figures released by the High Commission for Planning (HCP). The HCP points to a 3.7% increase in food prices and a 1.1% rise in non-food costs as the main drivers behind this surge. One of the most visible efforts, according to the minister, involved monitoring prices at local markets. Since 2022, inspection teams visited roughly 350,000 sales points across the country, only to find over 15,000 violations. These operations, she explained, form part of a wider push to ensure fairness in the market and make sure families can afford daily essentials. In parallel, the government maintained stable prices for electricity and water, two sectors that have seen global increases. Fettah also referred to emergency programs aimed at easing the effects of drought, particularly in rural areas where livelihoods depend on agriculture. Rather than passing rising global costs onto citizens, Fettah said Morocco chose another path. The government cut VAT on key products and offered targeted support to supply chains to avoid shortages. The minister also linked these efforts to broader economic policies, including raising the minimum wage through negotiations with unions and employers. Moreover, Fettah underlined that the government's role does not end at financial assistance. It must also stay present, adjust to changing conditions, and ensure that ongoing reforms and investments do not lose momentum. The minister concluded by reaffirming the government's intention to strike a balance between economic reform and social stability, without letting Moroccan households bear the brunt of global instability. While the government's efforts to curb inflation and support households help mitigate the issue, many families continue to struggle to make ends meet. Staples are still expensive for large segments of the population, and despite subsidies and wage adjustments, purchasing power has not fully recovered. For many Moroccans, the gap between official measures and daily reality still feels too wide. Tags: economyfood pricesinflationMorococ inflationrising costs
Morocco World
28-04-2025
- Business
- Morocco World
Minister: Morocco Bridges Continents Thanks to Strategic Position, Economic Vision
Rabat — Morocco is uniquely positioned to connect Africa, Europe, and the United States, according to Minister of Economy and Finance Nadia Fettah. During a meeting with officials from the prestigious American think tank Hudson Institute, attended by Moroccan Ambassador to the US Youssef Amrani, Fettah spoke of Morocco's ambition, resilience, long-term vision, and openness. 'Morocco serves as a reliable intermediary between Africa, the MENA region, and other parts of the world,' Fettah stated, pointing to the country's strategic advantages, connectivity, and reputation as a haven of peace in the region. The minister noted that Morocco has more free trade agreements than any other African nation and is the only country on the continent with a free trade agreement with the United States. Over the past 25 years, Morocco has built strong institutions and developed infrastructure that meets international standards, including ports, airports, roads, and highways. These investments continue to grow as the country prepares to host the Africa Cup of Nations in the coming months and co-host the World Cup in 2030. Fettah also mentioned Morocco's efforts to diversify its economy and trading partners. The country's economic activities now span industry, agriculture, food processing, tourism, and exports, among other sectors. Morocco has implemented major reforms to attract private investors, including streamlined administrative procedures and improved fiscal clarity and transparency. 'We encourage public-private partnerships in several economic sectors, particularly energy, water, and industry,' said Fettah, noting that this approach stems from the government's belief that the private sector is essential for job creation. Tags: economyMoroccoMorocco's vision
Morocco World
27-04-2025
- Business
- Morocco World
Minister: Morocco Bridges Between Thanks to Strategic Position, Economic Vision
Rabat — Morocco is uniquely positioned to connect Africa, Europe, and the United States, according to Minister of Economy and Finance Nadia Fettah. During a meeting with officials from the prestigious American think tank Hudson Institute, attended by Moroccan Ambassador to the US Youssef Amrani, Fettah spoke of Morocco's ambition, resilience, long-term vision, and openness. 'Morocco serves as a reliable intermediary between Africa, the MENA region, and other parts of the world,' Fettah stated, pointing to the country's strategic advantages, connectivity, and reputation as a haven of peace in the region. The minister noted that Morocco has more free trade agreements than any other African nation and is the only country on the continent with a free trade agreement with the United States. Over the past 25 years, Morocco has built strong institutions and developed infrastructure that meets international standards, including ports, airports, roads, and highways. These investments continue to grow as the country prepares to host the Africa Cup of Nations in the coming months and co-host the World Cup in 2030. Fettah also mentioned Morocco's efforts to diversify its economy and trading partners. The country's economic activities now span industry, agriculture, food processing, tourism, and exports, among other sectors. Morocco has implemented major reforms to attract private investors, including streamlined administrative procedures and improved fiscal clarity and transparency. 'We encourage public-private partnerships in several economic sectors, particularly energy, water, and industry,' said Fettah, noting that this approach stems from the government's belief that the private sector is essential for job creation. Tags: economyMoroccoMorocco's vision
Morocco World
19-03-2025
- Business
- Morocco World
Morocco Aims to Reduce Budget Deficit Below 67% by 2027
Rabat – Morocco's Minister of Economy and Finance, Nadia Fettah, said today that the country's budgetary programming for 2025-2027 will focus on reducing the budget deficit and ensuring long-term debt sustainability while maintaining strong investments in social protection. Speaking before the Finance and Economic Development Committee in Parliament, Fettah said the government is looking to lower the Treasury's debt ratio to below 67% by 2027. To achieve this, Morocco will reinforce fiscal discipline, including setting a medium-term debt target and controlling public spending while boosting revenues, According to the minister. She noted progress in revenue collection and deficit reduction in 2024, with the budget deficit shrinking by 0.5% of GDP compared to 2023. She also recalled the government's success in creating fiscal space to finance social protection programs. The financial strategy has generated MAD 15 billion through reforms in over 100 social programs, alongside MAD 11 billion mobilized through tax revenues. In addition, more than MAD 71 billion from the public budget (2023-2025) have been allocated to expanding social security and direct financial support programs. Savings from subsidy reform have also played a key role in strengthening the Social Protection and Social Cohesion Fund as it helped finance key social initiatives, Fettah added. Hassan Boubrik, Director General of the National Social Security Fund (CNSS), reported significant growth in social security coverage. By the end of 2024, 24.7 million Moroccans were covered, with daily claims submissions reaching 110,719. To accommodate the growing number of insured individuals, the CNSS has introduced measures to improve service efficiency and digitization. Processing times for claims now average nine days, and an electronic medical card system is set to be launched to enhance healthcare accessibility. Tags: Budget deficitbudget deficit in Morocco
Arab News
17-02-2025
- Business
- Arab News
Emerging economies need access to world markets to avoid trade fragmentation, global leaders say
RIYADH: Fragmentation in global trade can be resolved only if emerging economies gain access to international markets and contribute to discussions shaping the economic landscape, several finance ministers said. During a panel discussion at the AlUla Conference for Emerging Market Economies organized by the Saudi Ministry of Finance and the International Monetary Fund, Nigeria's Minister of Finance and Coordinating Minister of the Economy Wale Edun said that emerging economies should also try to create a friendly environment to attract domestic and international investments. According to the EU, global trade fragmentation in the form of increased barriers and higher trade policy uncertainty could significantly reduce global output in the long term, with low-income countries likely to be more negatively affected. 'We need world trade; we need open markets. As emerging economies, and developing countries, we need access to markets for our products, particularly for value-added manufacturing products. World trade growth is a tide that leads to all boats. It is definitely something which we advocate and which we look forward to achieving,' said Edun. He added: 'This is a wake-up call. We need to reform our economies, need to stabilize, reduce inflation and create a conducive environment for investment, particularly domestic investment as well as foreign direct investments.' Morocco's Minister of Economy and Finance Nadia Fettah said that emerging economies are less capable of formulating strategies to combat issues surrounding trade tensions. 'I think we have been going through several trade shocks last year, and we saw the beginning of fragmentation and tension for many reasons. I think, in emerging markets, we have more poor pockets than in these big countries that are designing the rules of trade and dynamics of the trade,' said Fettah. She added: 'I think this fragmentation is beneficial to the biggest players in the economy and not for the middle class and the lowest in crisis.' Fettah said that emerging market economies need globalization much more than advanced economies. During the same panel discussion, Ukraine's Finance Minister Sergii Marchenko stated that trade tensions are one of the most pressing and uncertain issues emerging market countries are working to resolve. He added that emerging markets are less capable of formulating strategies to combat trade tensions as they have limited opportunities and resources. The Ukrainian minister also praised Saudi Arabia and said that the Kingdom is a good example of how an emerging economy can successfully combat trade disruptions and march ahead in the journey in a resilient manner. 'The Kingdom is a good example for all of us to be tested and prove that we are good enough and strong enough to trade and be resilient,' said Marchenko. Edun further said that reduced financial inflows into emerging economies are one of the crucial factors that negatively impact these nations' economic conditions. 'I think the latest figures show that there is net outflow from emerging economies of $50 billion. For African economies, the latest figures show a deficit of $20 billion, and that is a very worrying trend, alongside the closing down and the tightening of world trade,' said the Nigerian minister. The vitality of participating in trade conversations Fettah also emphasized that emerging markets should have opportunities to participate in international talks that shape global trade rules and regulations. 'In this fragmentation, many emerging markets are not part of the conversation of the changing regulations and rules. We need to ask for permission to be part of the conversation. We never have a chance to have a transition or an adaptation plan to these new rules, and this needs to be changed,' she said. Edun echoed similar views and said that emerging economies still need to seek permission to enter such conversations despite the crucial importance of these countries in the global trade landscape. Marchenko supported the views of both the Nigerian and Moroccan ministers and said that world trade discussions are necessary and that Ukraine would like to be part of such conversations. Edun further said that emerging economies in Africa should increase trading with countries on the continent to boost development and the economy. 'There have been huge inflows, relatively cheap and competitive Chinese products in our markets. In Africa, intra-African trade is just 14 percent of the total trade. I think the figure for other emerging markets is higher. In Asia, it is 40 percent. And that is where we look to find our response and increase the capacity to trade with each other.' Geopolitical tensions During the talk, Marchenko said the ongoing war with Russia negatively impacted Ukraine's export trading capacity. 'The impact of war is very devastating. For our exports to Nigeria, the impact was very huge. We lost up to 60 times our potential for exports in 2023. Nigeria did not receive wheat from Ukraine. The same with Morocco, 12 times decrease of our exports,' said the Ukrainian minister. Fettah also underscored the importance of global stability and peace and said that uncertainty due to geopolitical issues is affecting investments in emerging economies. 'The most difficult thing is the uncertainty, which affects local investors but also all the FDIs. Everyone is waking up in the morning and seeing what has been announced the night before and how it will affect the future. We need peace to trade and we need peace to develop. We need visibility,' said Fettah. She added that countries should plan for mid and long-term goals, and they should develop a discipline to achieve this. 'Day-to-day shocks and crises need immediate and expensive responses,' said Fettah. Future outlook Regarding the future outlook, Edun said that Africa could become the workforce of the world, considering its growing population and the availability of young talents. 'Africa, in particularly countries like Nigeria, we have a very young population that is going to export services, and that will in fact be the workforce of the world because the population in Nigeria is expected to double from 200 million now to 400 million by 2050,' said the Nigerian minister. Marchenko said that Ukraine has shown its strengths both in the military and economic sectors during the tough times of war, adding that the IMF has provided the country with the necessary support whenever needed. 'I want to praise our cooperation with the IMF. It provides us with necessary relief and it provides us anchor for any possible negotiations with our partners. We would like to have solutions through free flow of goods and services,' said Marchenko. Regarding the present and future outlook, Marchenko said: 'Ukraine is trying hard to stabilize and manage to provide some kind of support for our business which operates in Ukraine. We are also trying to attract foreign direct investments.'
