Morocco’s Treasury recorded a deficit of 44.1 billion dirhams at the end of October 2026, down from 55.5 billion a year earlier. Stronger tax receipts helped narrow the budget gap, even as operating expenditure continued to rise.

Direct taxes lead revenue growth

Ordinary revenue reached 366.9 billion dirhams in the first ten months of the year, up 7.9% from the same period in 2025. Direct tax receipts rose 13.6%, the largest increase among the categories reported. Customs duties increased by 10.9%, indirect taxes by 9.5%, and registration and stamp duties by 9.8%. Those gains offset a 16.3% decline in non-tax revenue.

The overall deficit also reflects a combined surplus of 24 billion dirhams from special Treasury accounts and autonomously managed state services. Meanwhile, the surplus on ordinary operations, which measures the difference between ordinary revenue and expenditure, fell from 25 billion dirhams to about 23.5 billion.

Operating costs account for most of the spending increase

Expenditure recorded under the general budget reached 491.1 billion dirhams, up 6.4% year on year. Operating expenditure rose 10.1% and budgeted debt-service costs increased by 1.5%. Investment expenditure was broadly flat, edging up 0.1%.

By the end of October, the government had collected 87.4% of its full-year ordinary revenue target. Recorded investment expenditure accounted for 67.3% of the amount budgeted for the year. The pace of investment spending and tax collection in November and December will help determine the Treasury’s year-end balance.