Local authorities and local development in Morocco: A critical analysis of financial management

Abstract

Moroccan local authorities, entrusted with key responsibilities in education, health, and the environment, must meet growing citizen needs while facing globalization. They are called to design innovative strategies to stimulate the local economy, attract investment, and create sustainable jobs, while reducing social inequalities. Budgetary governance thus becomes an essential lever for balanced development. The local budget, which frames expenditures and revenues, reflects local priorities and directly affects citizens’ well-being. In this context, a new decree on local-government borrowing was introduced to regulate loans, strengthen transparency, and optimize the use of financial resources. Four years after its implementation, an assessment is needed to measure its impact, particularly on the operating budget. This article aims to evaluate the decree’s effects on the budget management of Moroccan local authorities. Methodologically, the study adopts a qualitative approach based on a critical documentary review (legal texts and institutional reports) and a normative, thematic ex post analysis, with no primary data collection or econometric modeling. The findings show significant progress in transparency and budgetary efficiency. The research offers practical and theoretical contributions, enriching the literature on fiscal decentralization and proposing recommendations for more effective local governance suited to contemporary challenges.