2005 draft finance law foresees 3percent GDP growth rate

The appropriation bill for the year 2005, submitted by finance and privatisation minister, Fathallah Oulaalou, foresees a 3% growth in the GDP, a 2% inflation and a budget deficit of 3.2%.

The draft, based mainly on the oil barrel price of 35 dollars and a cereal produce equal to the average of the last three years, expects total expenses to reach 186.63 billion dirhams (around US$ 20.7 billion), i.e. a 11.07% rise compared to 2004.

The operating expenses will also rise by 25.41% as compared to 2004, including wages, which will rise by 10.86%.

Oil subsidies will take an overall 4.29 billion Dh, and the government's contribution in the pension fund 'Caisse Marocaine des Retraites' will reach 17.18 billion DH.

Public debt-related expenses are set to by 5.37% compared to 2004.

As for receipts, they divide into the general budget (159.44 billion DH), the annex budget of the Moroccan first TV channel TVM (721.45 billion DH), State services managed autonomously (1.45 billions) and the treasury's special accounts (24.31 billion DH).