MOROCCO – The Moroccan Ministry of Health and Social Protection has enacted a significant policy change to reduce the financial burden of medications on its citizens.
On May 29, 2024, the Ministry issued Decree No. 1447.24, which lowers the prices of over 100 essential medications.
This decision is part of a broader strategy to improve healthcare accessibility and affordability in Morocco, particularly in the wake of challenges posed by the COVID-19 pandemic.
Minister of Health and Social Protection Khalid Ait Taleb stated, “This decree is a crucial step towards ensuring that vital medications remain accessible to all segments of the population.”
The new pricing structure applies to the country’s original, generic, and bioequivalent drugs, following a comprehensive review of existing pricing policies.
The Ministry aims to enhance transparency in the pharmaceutical sector, making it easier for consumers to understand and access necessary treatments.
The decree replaces previous regulations and is designed to preserve Moroccan citizens’ purchasing power.
It establishes transparent selling prices for original drugs while approving prices for their generic counterparts.
This initiative is expected to alleviate some financial pressures families face, particularly those with lower incomes who may have previously struggled to afford essential medications.
The decision to implement these price reductions followed extensive consultations with a joint committee of ministries responsible for pricing oversight.
By addressing the high costs of medications, the Moroccan government hopes to improve overall healthcare outcomes and reduce the economic strain on households.
Since the onset of the COVID-19 pandemic, Morocco has made concerted efforts to strengthen its healthcare infrastructure.
The government’s 2024 budget bill proposes a general exemption from Value Added Tax (VAT) for a wide range of essential consumer goods, including all medicines and their components.
This tax relief is anticipated further to enhance the affordability of healthcare products for Moroccan citizens.
The Ministry’s efforts are part of a more significant trend in Morocco towards improving healthcare access.
A study by the Ministry of Health revealed that a significant portion of the population views medicine prices as a barrier to healthcare access.
“Lower medicine prices following the reform were not perceived to have actually impacted respondents’ spending on health care,” the study noted, indicating that while price reductions are a positive step, more comprehensive measures are needed to ensure that all citizens can afford necessary treatments.
In addition to the price cuts, the Moroccan government is also working to support insurance companies, proposing a reduction in the VAT rate on services provided to these companies from 14% to 12%, effective January 1, 2024.
This move is expected to create a more favorable environment for health insurance, potentially increasing coverage for the population.
The Ministry’s recent actions reflect a commitment to making healthcare more equitable and accessible.
As Minister Ait Taleb emphasized, “Our goal is to ensure that no one is left behind when it comes to accessing essential medications.”
By implementing these price reductions and tax exemptions, Morocco is taking significant steps toward improving the health and well-being of its citizens, particularly those most in need.
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