Morocco proposes $19.4 billion cap on defense contracts — The Rio Times

The Moroccan government has proposed that parliament allow the defense minister in 2027 to conclude contracts for weapons and military equipment worth up to 190.5 billion dirhams, or about $19.4 billion. This provision is contained in Article 36 of draft budget law No. 60.26, which Finance Minister Fouzi Lekjaa presented on October 23, 2026.

As The Rio Times reports, this concerns not annual defense spending but the maximum volume of prior commitments. This mechanism makes it possible to conclude multi-year agreements whose financing will be provided for in subsequent budgets.

Increase in the limit

The proposed figure is 21% higher than the 2026 limit, which stood at 157.17 billion dirhams, or about $16 billion. Compared with 2024, when the limit was estimated at 124.77 billion dirhams, it could increase by approximately 53%.

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At the same time, funds in the special account for the purchase and repair of military equipment and the development of the defense industry in 2027 are expected to remain almost at the previous year's level — 11.49 billion dirhams, or approximately $1.2 billion. The draft law also provides for the creation of 5,500 staff positions in the defense administration.

Contracts have not yet been named

The draft budget does not contain a list of future contracts, suppliers, or types of weapons. The Moroccan Armed Forces already operate U.S. F-16 fighter jets and C-130 transport aircraft. On October 6, Lockheed Martin reported that the first F-16 Block 72 designated for Morocco had made its first flight.

Morocco's parliament still has to consider and vote on the draft law. Even if approved, the new limit will not mean immediate spending or equipment deliveries, but will only give the defense administration the legal ability to conclude the relevant agreements.