Finance and Economic Development Committee Ratifies Draft Decree-law 2.20.320 on Suspending Foreign-debt Ceiling
The Finance and Economic Development Committee under the House of Representatives held a meeting on Tuesday, April 7th, 2020. The meeting was chaired by the Committee Chairperson Abdellah Bouanou and attended by Minister of Economy, Finance, and Administration Reform Mohamed Benchaaboun, the chairpersons of parliamentary groups and caucuses, and some members of the Committee. The meeting was devoted to examining and voting on the draft decree-law 2.20.320 on suspending foreign-debt ceiling, under Article 81 of the Constitution and Article 230 of the House’s Rules of Procedure.
At the beginning of the meeting, the Minister of Economy, Finance, and Administration Reform noted that Coronavirus COVID-19 had negative impacts on the world economy and the most vital sectors in the national economy. Therefore, this might affect the foreign-exchange reserves due to the pandemic’s impact on the industries that generate foreign currency, such as tourism, foreign direct investments, exporting sectors, and the Moroccan expatriates’ remittances.
The Minister also warned that the current economic situation would affect the foreign-exchange incomes, which forces the Government to surpass the foreign-loan limit. He also noted that Morocco still enjoys the confidence of international financial institutions despite the current situation, which would allow him to receive a foreign loan on favorable terms.
On another note, and during the same meeting, the chairpersons of parliamentary groups and caucuses and the Committee members expressed their appreciation of the proactive approach of Morocco, under the leadership of HM King Mohammed VI, may God protect Him, through the successive and progressive precautionary measures taken to limit the outbreak of COVID-19, and to mitigate its economic and social consequences.
On this occasion, the deputies highly commended the noble human gesture of HM King Mohammed VI, Commander of the Faithful may God protect Him, by granting Royal pardon to several prisoners. In this respect, they also requested, with all due respect and esteem, from His Majesty, considering Him the “father of the nation,” to grant his pardon to other prisoners detained for social grievances and protests, and other groups.
Besides, the deputies, with their various political affiliations, in a spirit of higher interest, national solidarity and consensus behind His Majesty the King, expressed their appreciation and understanding of the Government measures taken to support the health sector and to mitigate the economic and social impacts of this pandemic. They also called for more efforts to protect citizens and the national economic fabric, through assisting vulnerable groups who lost their livelihoods because of the pandemic.
Additionally, the Committee members paid tribute to all the soldiers on the front lines to fight this pandemic, especially the health and education staff, Royal Armed Forces, Royal Gendarmerie, National Security, Auxiliary Forces, Civil Protection, sanitation workers, and all the employees of vital sectors who ensure the provision and continuity of essential services.
The Committee members also praised the citizens’ commitment to implementing the quarantine measures. They also called them to continue their firm adherence to the said measures, as they are the only way to overcome this difficult phase.
Also, they stressed the importance of the Government’s outreach to the public, focusing mainly on the communication of the Ministry of Economy and Finance to clarify the current economic and financial situation and its requirements, provide the necessary information, and ensure the mobilization of all economic, social and finance actors.
The Committee members, both opposition and majority, representing all parliamentary groups and caucuses, concluded the meeting by voting on the approval of the draft decree-law. In this respect, they considered that it would allow our country to procure foreign financing in this exceptional situation, to afford the import of all the elements needed by national markets, especially the necessary medical supplies and equipment, medicines, energy products, and food.