Morocco allocates MAD 400 million in transport subsidies
Government aims to shield consumers from rising fuel costs with increased direct payments to transport operators.
Morocco will provide MAD 400 million in direct subsidies to road transport professionals, supporting approximately 200,000 vehicles. Transport Minister Abdessamad Kayouh announced on Thursday that this new allocation is a 60% increase over the initial subsidy tranche. Payments will be disbursed every 15 days, starting November 10, to offset rising fuel prices and their impact on transport fares and consumer goods.
The subsidy is intended to absorb energy cost increases affecting passenger transport and the movement of essential goods, according to Minister Kayouh. He urged transport operators not to raise official fares, stating the financial support aims to protect end consumers and maintain logistics sector stability. The support applies to vehicles registered with the Transport Ministry and NARSA that meet eligibility criteria.
Government spokesperson Samir Belfkih stated that protecting household purchasing power is a strategic priority, with measures to increase incomes and curb inflation. The government is also preparing legislation to create six regional companies next year to organize markets and regulate distribution, addressing intermediaries who account for nearly 70% of some product prices. The government has ruled out capping fuel company profits or reducing fuel taxes.
Why it mattersMoroccan transport operators and consumers will benefit from direct subsidies and measures to control price inflation.