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Morocco raises defense procurement ceiling to MAD 190.5 billion

The 2027 Finance Bill proposes a 21.2% increase for future military equipment and defense industry commitments.

Morocco's draft 2027 Finance Bill proposes raising the ceiling for future military equipment and defense industry commitments by 21.2% to MAD 190.5 billion. This increase of MAD 33.33 billion compares to MAD 157.17 billion in 2026, seeking parliamentary authorization for spending commitments extending into the following financial year. The proposed ceiling has risen from MAD 124.77 billion in 2024 and MAD 133.45 billion in 2025, bringing the cumulative increase over three years to nearly 53%.

Under Article 36, the minister responsible for National Defense would be authorized to enter into commitments during 2027 against appropriations to be allocated in 2028. This authority is for the dedicated account for acquiring and repairing Royal Armed Forces equipment and supporting Morocco’s defense industry. The defense equipment account is separately allocated MAD 11.49 billion in expenditure for 2027.

The Integrated Territorial Development Fund would receive an advance commitment ceiling of MAD 15 billion, the second-largest amount among the provisions. Other authorizations include MAD 3 billion for the Special Roads Fund and MAD 2 billion for prison administration support. The draft also doubles annual expenditure through the Integrated Territorial Development Fund to MAD 10 billion, compared with MAD 5 billion in 2026.

Why it mattersMoroccan citizens will be affected by increased government spending on defense procurement and territorial development.