Morocco's outstanding public debt stock reached 1,144 billion dirhams (approximately $115 billion) by the end of 2025, according to the latest figures from the Ministry of Economy and Finance. This represents an increase from the previous year, driven by continued borrowing to finance infrastructure projects and budget deficits.
The debt includes both domestic and external obligations. Domestic debt accounted for about 70% of the total, while external debt made up the remainder. The government has been relying on international markets and multilateral lenders to cover financing needs.
Economists note that while the debt level remains manageable relative to GDP, which stood at around 70% in 2025, rising interest rates and global economic uncertainties pose risks. The government has outlined a strategy to gradually reduce the deficit and stabilize debt levels through fiscal consolidation and improved tax collection.
Key sectors benefiting from the borrowed funds include health, education, and infrastructure, particularly in the context of post-earthquake reconstruction efforts in the Al Haouz region. The 2026 budget law projects a gradual decline in the debt-to-GDP ratio over the medium term.
