Morocco will focus its 2026 national budget on improving healthcare, education, and reducing regional inequalities, Finance Minister Nadia Fettah Alaoui has announced. Speaking in an interview with Reuters, Alaoui said the government is committed to channeling greater resources toward essential public services following widespread youth-led protests demanding better living conditions and access to social infrastructure.
The minister explained that while Morocco currently dedicates just under 9 percent of its GDP to health and education, the 2026 budget will reallocate spending to ensure greater efficiency and local access. “We need to improve not only the level of spending but also the impact,” Alaoui said, emphasizing plans for short-term measures such as activating local hospitals and expanding educational opportunities in underserved communities.
The government will also focus on narrowing development gaps between Morocco’s mountain and oasis regions under a royal initiative aimed at promoting inclusive growth. According to Reuters, the finance ministry intends to balance these social priorities with continued fiscal discipline to safeguard macroeconomic stability.
Alaoui further revealed that Morocco plans to introduce a medium-term inflation target of 2–3 percent, expected to be formalized by late 2026 or early 2027. She added that while the dirham remains pegged to a basket of currencies, 60 percent euro and 40 percent U.S. dollar, there are no immediate plans for a full currency float, as small and medium-sized enterprises remain vulnerable to exchange-rate volatility.
