A Comprehensive Government Strategy to Strengthen Social Protection

Fouzi Lekjaa, Minister Delegate in charge of the Budget, explained during the discussion of the 2027 Finance Bill before the Committee on Finance and Economic Development in the House of Representatives that the government has allocated a financial envelope of 50 billion dirhams to cover social dialogue expenses. He noted that the proposed tax measures aim to support employees in both the public and private sectors from the middle class and vulnerable groups, emphasizing the need to accompany income tax reductions with a social dialogue that leads to measures benefiting employees who will not benefit from this reduction. Regarding the calculation of the tax review's impact, taxable income is determined after deducting professional expenses and social contributions, while taking into account deductions related to family burdens.

The Minister pointed out that raising the minimum pension will include all basic retirement schemes to reach 1,700 dirhams in 2027, with an increase of 200 dirhams in the public sector and 700 dirhams in the private sector, benefiting approximately 557,000 beneficiaries. The National Social Security Fund (CNSS) will cover about 70 percent of them and about 80 percent of the annual cost, estimated at 3.3 billion dirhams. Increases will continue to reach 2,000 dirhams in 2028, then 2,500 dirhams in 2029, and ultimately 3,000 dirhams by 2030. In addition, the percentage of widows' pensions will be increased to cover around 431,000 widows with an annual financial cost of 7.33 billion dirhams, distributed between the National Social Security Fund, the Collective Scheme for Retirement Allowances (RCAR), and the civil and military pension schemes.