El Othmani to his Ministers: “Cancel Unnecessary Spending”

The Head of Government Saad Dine El Otmani called for optimal management of the obligations of the State expenditure and public institutions during the period of the state of health emergency.

“In the light of the global and national economic context affected by the negative repercussions of the Covid-19 pandemic and the imperatives of the need to take rapid and urgent measures to reduce the effects of this crisis on our national economy, the Governing Council considered, at its meeting on Monday, April 6, 2020, the urgent measures to be taken to ensure the optimal management of expenditure obligations, during the period of health emergency, for the State and public institutions,” El Otmani recalled in a letter addressed to Ministers, Deputy Ministers, High Commissioners and the Commissioner General.

The meeting, the letter stressed, concluded with “the need to involve all ministerial sectors and public institutions under the supervision of the State, in the rationalization of expenditures and in the orientation of available resources towards the priorities imposed by the management of the crisis related to this pandemic at the health, security, social and economic levels in order to implement the Royal High Directives.

This will be implemented through a joint decision between the Ministry of Economy, Finance and Administrative Reform and the Ministry concerned, El Otmani emphasizes, adding that this decision includes prioritized spending at the level of the general budget, the budgets of independently managed public institutions and the special accounts of the Treasury and public institutions, which the ministerial department will be called upon to honor during this exceptional period that extends until the end of June 2020.

These include the necessary management or operating expenses, especially those of civil servants, employees and agents, expenses related to water, electricity and communication charges, rental costs, scholarships and expenses for essential services such as cleaning, security and maintenance, as well as those related to the rights of use and protection of information software. This also includes investment or supply expenditure related mainly to projects financed by international financial partners, or projects to be carried out by national companies, using exclusively materials produced in Morocco, expenditure for the management of the Coronavirus pandemic, the social cohesion and family solidarity fund and the fight against drought, according to the same source.

The letter notes that, on the other hand, it is essential to reduce or cancel unnecessary expenses during this period, particularly those related to transport, mobility, management of the car park, renting and furnishing and development of premises and the organization of conferences and symposiums.

These measures, the letter continues, will not be applied to the health and safety sectors, including the Ministry of the Interior and its security services, and the National Defense Administration.

With the aim of drawing up these joint decisions as soon as possible, the Head of Government called on Ministers, Deputy Ministers, High Commissioners and the Commissioner General to “give their instructions to the public services and institutions under their supervision, to speed up the implementation of the list of expenditures cited, on the basis of which meetings will be held with the ministerial departments concerned, at the level of the Budget Directorate at the Ministry of Economy, Finance and Administrative Reform, according to the timetable attached to this letter.

In this regard, the Head of Government stressed the importance of redoubling efforts for a better implementation of these measures, in order “to be able to manage this crisis with the required effectiveness and efficiency and limit its negative effects on citizens and the national economy.

He also called for the fulfillment of financial commitments to enterprises and the acceleration of payments, especially for VSEs and SMEs, so that they can honor their financial commitments, preserve jobs and mitigate the social impact of this crisis.

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