On Monday, October 19, 2026, the Head of Government, Fatima-Zahra El Mansouri, presented the new government's programme for the 2026-2031 legislative term before both Houses of Parliament. This first address, provided for by Article 88 of the Constitution, sets the executive's roadmap for the next five years.
The programme is built around seven priorities, from consolidating the rule of law to building an economy capable of financing the country's social ambitions. It also signals a change of method: moving from the volume of investment to its return, and from multiplying programmes to delivering concrete results.
Beyond the widely reported social measures (direct aid raised to MAD 1,000, minimum pension of MAD 3,000), several announcements directly concern business leaders: taxation, investment, public procurement, youth employment and growth sectors.
This article reviews the economic side of the programme and what it could change for VSEs, SMEs and investors. One clarification is needed: these are policy directions and objectives, not measures in force. The government itself states that its commitments will be implemented gradually, depending on what can realistically be delivered and on the sustainability of public finances. They will be put into practice through successive finance laws, starting with the 2027 one.
The macroeconomic course: growth and public finances
The government sets four quantified targets for the legislative term:
| Indicator | Announced target |
|---|---|
| Average annual growth (2027-2031) | 5% |
| Annual inflation | Around 2% |
| Budget deficit (2026-2031) | Around 3% of GDP |
| Public debt in 2031 | Around 62% of GDP |
For reference, the framework presented to the Council of Ministers on October 17 forecasts growth of 4.7% at the end of 2026 and inflation of around 0.7%.
The equation is demanding: significant social commitments (direct aid, pensions, housing) must be financed while keeping the deficit and debt under control. To achieve this, the executive is counting on a lasting acceleration of growth, better returns on investment, a broader tax base, more efficient public spending and the restructuring of public institutions and enterprises.
For businesses, the broadening of the tax base is a signal to watch. It may involve tackling the informal economy, stepping up tax audits or reducing certain exemptions.
Taxation: a gradual income tax reform announced
The programme provides for a gradual reform of income tax, with a twofold objective: increasing employees' net income and encouraging declared employment.
At this stage, no new tax scale, exemption threshold or timetable has been announced. As a reminder, the current scale, introduced by the 2025 Finance Law, exempts income up to MAD 40,000 per year and caps the marginal rate at 37%.
For employers, such a reform would have a direct impact on payroll: calculation of withholding tax, net pay to employees and the cost of pay policies. It could also make declared employment more attractive compared with informal work.
Private investment: a central role for businesses
The stated goal is to raise the private sector's share to two thirds of national investment.
To achieve this, the government announces:
- the continuation of the Investment Charter and the acceleration of projects already approved under an investment agreement;
- the continuation of the reform of the Regional Investment Centres (CRI);
- specific support for VSEs and SMEs in terms of financing, guarantees and access to public procurement;
- greater mobilization of bank and non-bank financing for productive investment, innovation, industry and exports;
- the revitalization of financial markets and the mobilization of national savings.
Several observers note, however, that this objective is restated with no deadline or annual trajectory, and that the CRI reform comes with no specific administrative simplification measures, such as replacing certain authorizations with specifications (cahiers des charges).
Existing schemes, such as the VSE/SME support scheme under the Investment Charter, remain at the heart of the strategy. The CRI remains the entry point for project promoters.
Public procurement: 30% of contracts reserved for SMEs
This is probably the most concrete announcement for SMEs. The government plans to introduce a legal obligation reserving 30% of the value of public contracts for Moroccan small and medium-sized enterprises. The aim is to make public procurement a lever for developing the national productive fabric.
This measure comes with tighter controls on public contracts, particularly against collusion in tenders, and a reform of how markets are organized, targeting monopolies and opportunistic intermediaries, in coordination with the Competition Council.
Its real scope will depend on the terms adopted:
- the definition of eligible businesses (turnover thresholds, headcount…);
- the conditions for taking part in tenders;
- the control mechanisms;
- SMEs' capacity to carry out public contracts, particularly in terms of cash flow and guarantees.
For SMEs, this is an opportunity to prepare for now: an up-to-date administrative file, tax and social security certificates on hand, client references, and cash reserves able to absorb public-sector payment times.
Youth employment and entrepreneurship: quantified targets
The government starts from a worrying observation: around 2.9 million young people aged 15 to 29 are not in employment, education or training, unemployment among 15-24-year-olds stands at 29.2%, and nearly 300,000 pupils leave school every year without qualifications.
From 2027, a national support programme is to deliver:
| Objective | Annual volume |
|---|---|
| Training of young people according to business needs | 100,000 |
| First work experiences | 100,000 |
| Apprenticeship training capacity | 150,000 to 200,000 |
The programme also provides for support to 60,000 businesses (incubation, financing, guarantees, access to public contracts) and the creation of a "mobility passport" for people who find a job outside their region of residence, backed by a supply of affordable rental housing.
For businesses that are hiring, these announcements point to new hiring and training support schemes. How they will fit with existing schemes, such as IDMAJ (ANAPEC) or TAHFIZ, remains to be clarified.
The sectors in the spotlight
The programme identifies several strategic sectors offering business opportunities:
| Sector | Announced target or direction |
|---|---|
| Renewable energy | More than 52% of the energy mix in 2030, green hydrogen, gas infrastructure |
| Water | 1.8 billion m³ from desalination by 2031, faster dam construction |
| Tourism | New 2027-2030 roadmap, target of 26 million tourists in 2030 |
| Agriculture and agri-food | Share of national seeds raised from 20% to 50%, rebuilding of livestock herds |
| Logistics and maritime | Major port projects, industrial and logistics zones, national merchant fleet |
| Digital | Cybersecurity, artificial intelligence, support for startups |
| Industry | Reduced dependence on imports, emergence of a defence industry |
The 2030 World Cup remains a major accelerator, particularly for tourism, construction and services.
Other announcements for businesses to watch
- Pensions a comprehensive reform of pension schemes is announced, in consultation with the social partners, with the minimum pension gradually raised to MAD 3,000. Its financing will be decisive, and its possible effects on contributions are not yet known.
- Social protection continued rollout of compulsory health insurance (AMO) and broader eligibility for the job-loss allowance.
- Regions financial transfers to the regions raised to at least MAD 12 billion from 2027, and programme contracts linked to employment and investment.
- Moroccans living abroad an integrated policy to facilitate their participation in national life and their contribution to the country's development, with measures to encourage skilled returnees.
Announcements at different stages of maturity
The programme stands out for its number of quantified targets, which will make it possible to track the government's action. Not all announcements are at the same stage, however:
| Type of announcement | Examples | What remains to be done |
|---|---|---|
| Extension of existing policies | Investment Charter, CRI reform, AMO rollout | Continue and speed up implementation |
| New measures requiring a law | 30% of public contracts reserved for SMEs | Drafting and adoption of the texts |
| Reforms to be negotiated and costed | Income tax reform, pension reform | Consultation, budget trade-offs and timetable |
What next? The 2027 Finance Bill, the first test
The timetable for the coming days is tight:
| Date | Step |
|---|---|
| October 19, 2026 | Presentation of the government programme to Parliament |
| October 20, 2026 | Submission of the 2027 Finance Bill to the House of Representatives |
| October 22, 2026 | Debate and vote of confidence on the government programme |
| From October 23, 2026 | Presentation and start of the review of the 2027 Finance Bill |
The 2027 Finance Bill (PLF) will be the first test of consistency between the stated ambitions and the resources actually committed. According to the guidelines already published, its tax component favours the stability of the system and the consolidation of reforms already under way, notably including the tax guarantees linked to the 2030 World Cup.
The major announced reforms, such as the income tax reform, could therefore be spread over several finance laws. We will follow the review of the bill and any amendments.
Summary: what could change for your business
| Topic | Announcement | What to watch |
|---|---|---|
| Taxation | Gradual income tax reform, broader tax base | 2027 Finance Bill and subsequent finance laws |
| Investment | Two thirds of investment driven by the private sector, CRI reform | Changes to the Investment Charter schemes |
| Public procurement | 30% of contracts reserved for SMEs | The law and its implementing rules |
| Employment | 100,000 training places and 100,000 first work experiences per year | New hiring support schemes from 2027 |
| Financing | Broader guarantees and financing for VSEs and SMEs | New bank and public products |
| Social | Pension reform | Possible impact on contributions |
Frequently asked questions
Do these measures already apply?
No. The government programme sets policy directions and objectives for the legislative term. They will be implemented through laws, decrees and the annual finance laws.
When will the first concrete measures be known?
The 2027 Finance Bill, submitted on October 20, will give a first budgetary and tax translation of them. The heaviest reforms, such as those of income tax or pensions, will require consultation and a timetable still to be specified.
Will the income tax reform lower employees' taxes?
The stated objective is to increase employees' net income. The scale, thresholds and timetable are not yet known.
How can my SME benefit from the 30% public procurement reserve?
The measure still has to be written into law. In the meantime, it is worth preparing a complete administrative file and following the public procurement platforms.
Are current investment support schemes being maintained?
The programme provides for the continuation of the Investment Charter and of the CRI reform. Existing schemes therefore remain relevant.
Conclusion
The 2026-2031 programme sets out an ambitious roadmap: 5% growth per year, a private sector expected to drive two thirds of investment, a bigger role for SMEs in public procurement and a major effort in favour of youth employment.
These objectives now need to be turned into concrete, costed and scheduled measures. For business leaders, the challenge is to follow this translation from the 2027 Finance Bill onwards: taxation, hiring support, public contracts, financing are all levers that could change in the coming months. Your chartered accountant can help you anticipate these changes and seize the opportunities that arise from them.