Morocco’s 2026 finance bill increases military budget

Over the past few years, Morocco has been heavily investing in its military, and the government seems determined to continue this trend. On October 20th, The Kingdom’s leaders announced that the 2026 defence budget is set to increase by 17.6% compared to 2025, bringing the total to $15.7 billion, according to Yabiladi.

The Moroccan government’s raise was included in the 2026 finance bill, with the defence budget having steadily grown year-on-year since 2022, when it reached $11.5 billion. This represents a 38.3% increase over four years, and the rise for the 2026 defence budget marks Morocco’s first year-on-year double-digit percentage increase.

The double-digit percentage rise comes after Algeria announced that it’s allocating almost a fifth of its budget to its military, as reported on the Defence Blog. Observers are pointing out that while Morocco’s increase is significant, the amount remains small compared to Algeria’s $24.6 billion defence budget for 2026.

Algeria’s defence remains its top expenditure for 2026, and the reported enactment of the General Mobilisation Law prepares the nation for war scenarios, as tensions rise with Morocco and the Sahel states.

On October 9th, leaked documents also revealed that the Algerian government recently purchased powerful fighter jets from Russia, which are strategic and dissuasive assets that position Algeria as a regional power.

While the North African neighbours are not direct belligerents, they have become rivals due to their conflicting plans for the Western Sahara territory. According to the New Arab plus agencies, Morocco’s rivalry with Algeria, security concerns in the region, as well as efforts to curb migration at the request of the EU, have made it essential for the Kingdom’s government to increase its military capacity.

Prime Minister Aziz Akhannouch’s government appears to be diversifying its military allies to break away from its over-reliance on its Western partners. A new Indian defence plant is opening in Morocco to produce tanks, strengthening its relationship with the Asian country, which is set to increase its investments in Morocco.

This year, Israel overtook France to become Morocco’s main defence partner. The Moroccan Finance Minister has recently reaffirmed strategic partnerships with Israel, which is infamously known for its developed arms sector.

On October 13th, Morocco hosted a drone test on its territory for an Israeli company, signalling the countries’ deepening ties while the rest of North Africa rejects normalisation with Israel.

Russia also seems willing to play a more important role in the region with the development of strategic partnerships with Morocco and Algeria, voicing its dedication to help resolve North Africa’s crises.

The 2026 finance bill also included changes that seem to respond to the recent Gen Z protests, as the budgets for the Health Ministry and Education Ministry are also rising by a combined 16% compared to 2025.

The Health Ministry is also set to recruit 8000 people to ease staff shortages in the hospitals. This was amongst one of the issues that caused 8 pregnant women in Agadir to pass away after they were admitted for a C-section. The tragic event was the tipping point for Morocco’s young people, who decided to protests shortly after the events.

Moroccan youth took to the streets to express their frustration at the healthcare and education systems’ poor condition. They contrasted it with the significant investments made in the past few years to build stadiums ahead of international sporting events while essential public services suffered from underinvestment.

Morocco’s 2026 finance bill is a testament that the country is trying to strike a balance between responding to their citizens’ demands, preparing for security concerns and investing in the country’s development.

Yabiladi, Defence Blog, The Arab Weekly via Reuters, The New Arab plus agencies, Maghrebi.org