Morocco exempts defense firms from taxes, eyeing national and international investments

The Moroccan government has approved the 2025 budget, granting tax exemptions to defense firms to bolster military production and attract domestic and foreign investment. “This draft decree aims to enable manufacturers of defense and security equipment, weapons, and ammunition to secure a temporary corporate tax exemption,” government spokesperson Mustapha Baitas stated Friday. The proposed budget includes a defense allocation increase from MAD 124 billion ($12.4 billion) in 2024 to MAD 133 billion ($13.32 billion) in 2025.