Morocco's Debt Hits 1.19 Trillion Dirhams in June 2026
The annual public debt report annexed to the 2027 Finance Bill shows Morocco's Treasury debt reached 1,145 billion dirhams by end-2025, while interest payments jumped to 45.2 billion, as the government prepares its 2027 social programs.
The annual public debt report, published by the Ministry of Economy and Finance and annexed to the 2027 draft Finance Bill presented to Parliament by Minister Fouzi Lekjaa, shows that Treasury debt reached 1,145 billion dirhams by the end of 2025, up 63.4 billion from 2024. Interest and commissions on this debt climbed to 45.2 billion dirhams, a rise of nearly 13.6% in a single year.
Treasury Debt and Its Share of GDP
Consolidated public debt, which includes the debt of public institutions and enterprises alongside Treasury debt, rose to 1,115.6 billion dirhams by the end of 2025, up from 1,017.9 billion in 2024, pushing its share of GDP from 63% to 64.9%. Treasury debt alone saw its GDP share fall from 67% to 66.6%, a third consecutive annual decline, split between 845.2 billion dirhams in domestic debt (73.8%) and 299.8 billion in external debt (26.2%).
| Indicator | End 2024 | End 2025 | % of GDP 2025 |
|---|---|---|---|
| Consolidated public debt | 1,017.9 | 1,115.6 | 64.9% |
| Treasury debt | 1,081.6 | 1,145 | 66.6% |
| Public external debt | 468.2 | 517.4 | 30.1% |
Borrowing Costs and Debt Service
Total Treasury debt service reached 197.4 billion dirhams in 2025, up from 158.5 billion in 2024, split between 152.1 billion in principal repayments and 45.2 billion in interest and commissions. Net financing needs rose to about 74 billion dirhams, up from 52.8 billion, covered through the domestic market and external financing. While the average interest rate on Treasury bond issuances fell from 3.65% to 2.62%, the average cost of the total debt stock rose from 3.96% to 4.18%, due to costlier earlier borrowing terms and higher costs on some external financing.
On the external front, Morocco secured 48.4 billion dirhams in new financing in 2025, most of it (57.9%) from multilateral creditors, including the African Development Bank, which recently approved new financing worth $487 million to support Morocco's structural reforms.
Credit Rating and Latest Figures
Credit rating agency S&P restored Morocco's investment-grade rating in September 2025, after several years without it, while the Kingdom issued international bonds worth 2.25 billion euros on 19 May 2026, split between 1.25 billion over 8 years and 1 billion over 12 years. The latest figures show Treasury debt rising to 1.19 trillion dirhams by the end of June 2026, up 45.4 billion in just six months from the end of 2025.
This rise in debt interest comes as debt service absorbs a growing share of public resources, as the government seeks to fund its social programs under the 2027 Finance Bill, from purchasing-power support to raising the minimum retirement pension to 1,700 dirhams.