Moroccan Families facing financial difficulties will start receiving the first-ever government allowances from Thursday, December 28. The announcement made by Prime Minister Aziz Akhannouch’s government in October is now coming into effect at the end of 2023. These payments come at a crucial time after several years of inflation and economic crisis.
Starting today, over a million Moroccan citizens will receive a minimum monthly allowance of 500 dirhams, approximately 48 euros. These allowances may increase based on the number of dependent children or elderly individuals in a family. For instance, a family with three children will receive 57 euros per month from the state.
With skyrocketing inflation, a 13% unemployment rate, and significant economic disparities, the Moroccan economy has been heavily impacted by the COVID-19 and Ukraine war crises in recent years. The “social shield” program, as described by Prime Minister Aziz Akhannouch and long desired by King Mohammed VI, aims to be a bulwark against the economic and social hardships faced by many Moroccans.
Given that the average salary in the country is 360 euros, these social benefits were eagerly anticipated by unions and many political parties. They also align with the extension of public health coverage to 10 million households initiated in 2021.
Previously, social assistance in Morocco was indirect and involved state subsidies on certain consumer products through a compensation fund. This fund is also expected to be reformed to target disadvantaged populations, although the timeline for this revision has not been announced.