5% growth and financing: how the PAM costs its programme
The fifth charter of the 2027-2031 programme, growth and sustainability, sets the framework meant to make the other commitments possible, along with the financing plan for the MAD 350 billion.
The PAM’s 2027-2031 programme, “To change course. One word!”, ends on a charter unlike the other four: growth and sustainability. It carries no new spending of its own but sets the macroeconomic framework without which, in the programme’s words, “economic growth is the precondition for delivering all the previous commitments”. It comes with a costed financing plan.
Six benchmarks for 2027-2031
- 5% average annual growth in 2027-2031, against 3.7% in 2022-2025
- 1 million net jobs at least over the term
- 7% unemployment by 2031, down from 10.8%
- 2% annual inflation ceiling
- 3% budget-deficit ceiling (% of GDP)
- 62% public debt as a share of GDP by 2031
The 5% annual growth target is 1.3 points above the 2022-2025 figure (3.7%). The programme pairs it with two ceilings, inflation at 2% and a deficit at 3% of GDP, and public debt brought down to 62% of GDP by 2031. Unemployment would fall from 10.8% to 7%, as part of the one million net jobs target.
An additional cost of MAD 350 billion
The programme puts its cumulative additional cost at around MAD 350 billion over five years, close to MAD 70 billion a year. Four charters share this envelope:
- Purchasing power: MAD 150bn
- Citizenship: MAD 100bn
- Youth integration: MAD 50bn
- Security: MAD 50bn
Three sources of financing
The programme identifies three resources, which add up to exactly MAD 350 billion:
- Growth effects and a broader tax base: MAD 300bn
- Local authorities (VAT fund): MAD 40bn
- Reallocation and budgetary efficiency: MAD 10bn
The first figure matters most: MAD 300 billion out of 350, close to 86% of the financing, rests on the additional effect of growth and a broader tax base. The plan therefore depends directly on reaching the 5% growth target. The MAD 40 billion from local authorities would go through the dedicated value-added-tax fund, and the remaining MAD 10 billion through budget reallocations after a comprehensive review of public spending.
What to keep in mind
These amounts are the PAM programme’s own estimates, not those of an independent body: they will have to be tested against the finance laws the government prepares once it is formed. Each charter is covered in the article on the 2027-2031 programme and on the Programme page: cost and financing. See also the articles on purchasing power, citizenship and strategic security.
Discover the PAM, its history and its programmeThe 2027-2031 programme in detail
