The treasury achieved a budget surplus of 914 million dirhams (MDH) in the first quarter of 2022, a first since January 2021, once morest a deficit of 7.4 billion dirhams (MMDH) a year earlier, according to Attijari Global Research (AGR) .
The State’s public accounts showed a marked improvement at the end of March 2022, reflected in the control of the budget deficit, indicates AGR in its latest document “Research report fixed income”, adding that public finances remain supported by an improvement in ordinary income which more than offset the increase in expenditure.
The tax component recorded a net increase of 13 billion dirhams (or +23%) during Q1-22, under the effect of the improvement in tax revenues. These increased by 10 billion dirhams in the image of a first significant installment, the rate of realization of which compared to the annual forecasts of the Finance Law 2022, amounts to 44%.
The compensation expense rose sharply in Q1 22 by 3 billion dirhams, negatively impacting government spending. Originally, butane gas prices soared by 64%, from an average of $543/T to $890/T over a rolling year.
At the end of the first quarter of 2022, the surplus situation of the State’s public accounts made it possible to contain the Treasury’s financing requirement at 10.4 billion dirhams, taking into account a level of arrears of 11.4 billion dirhams.
This is an achievement rate of 12.4% compared to the forecasts of the LF 2022 and this, in the face of an overall financing need in 2022 of 84 billion dirhams, notes AGR, adding that the remainder of the financing needs of the Treasury during the rest of the year remains high at 73.6 billion dirhams.
Similarly, overall outstandings including unsecured investments and reverse repos on the money market amounted to 9.4 billion dirhams on daily average in Q1-2022, i.e. increases of 1.2 billion dirhams and 4.2 billion dirhams respectively. MMDH compared to Q1-2020 and Q1-2019, reports AGR.
