Housing: It’s time to take stock

When the national dialogue is launched

The housing sector has made significant progress in recent years. But there is still a long way to go, in particular to make housing more accessible to families. This is also one of the objectives of the national dialogue on town planning and housing which has just been launched on September 17 and which will be rolled out at the regional level on September 21. The conclusions of this debate are eagerly awaited since they will make it possible to launch a new public policy in the field of urban planning and housing and to provide new responses to the multiple expectations expressed by both citizens and investors concerning the cost of housing, stimulation of the rental sector, integration of the notions of sustainability, social diversity and social equity.

Damane Sakane: Nearly 268,000 beneficiary families
It must be said that at this stage, specific financing programs have been put in place for these households, including the Damane Assakane fund through which the State grants mortgages. Since the launch of this offer, 268,189 households have benefited from it. According to statistics from the Department of Housing and Urban Policy, there are 201,530 the number of households having benefited from the Fogarim guarantee since the launch of this offer in 2004 until the end of July 2022. In sum, the loans granted reached 31.89 billion dirhams. During the month of July 2022 alone, 593 loans were granted, i.e. 0.099 billion dirhams against 744 loans in the same period in 2021 (0.125 billion dirhams). Regarding the Fogaloge guarantee, 66,659 families have benefited from this financial solution since its start in 2009 until the end of July 2022.

Overall, the Fogaloge loans granted amount to 19.13 billion dirhams. For the month of July alone, 583 loans for 0.175 billion dirhams were granted (0.175 billion dirhams) against 537 loans granted in the same period a year earlier (0.158 billion dirhams). As for the outstanding amount of real estate loans, the housing department reveals that it amounted to 296.37 billion dirhams at the end of July 2022 against 289.77 billion dirhams at the end of July 2021, achieving growth of 2.28%. Its rate of contribution to the economy reached 24.3%. Regarding the borrowing rate applied by banks, it should be noted that it is 4.65% in the second quarter of 2022 against 4.52% during the same half of last year, increasing by 2.88%. With regard to foreign direct investments in real estate, they amounted to 6.60 billion dirhams in 2021 against 5.77 billion dirhams in 2020, up 14.45%.

Boost social housing
Over the past decades, Morocco has implemented strategies to meet the demand for social housing. A dynamic that should experience a new lease of life with the national dialogue after a slow period. Indeed, the Ministry of National Territorial Development, Urban Planning, Housing and City Policy had worked for the realization of the social housing program at 250,000 DH. Currently, the indicators show stagnation. Nearly 2.11 million homes in this category have been completed (1,507 agreements between 2010 and July 2022). The sector holds the largest share with around 2.04 million housing units built (1,450 agreements). For its part, the public sector has 57 agreements (70,077 housing units). From 2010 until the end of July 2022, 602,368 social housing units at 250,000 DH received their certificate of conformity against 553,532 on the same date in 2021. With regard to social housing at 140,000 DH, they have 82 agreements for 40,010 housing units between 2008 and July 2022. The private sector concentrates 52 agreements for 24,643 housing units while the public sector holds 30 agreements for 15,367 housing units.

The number of dwellings having received their certificate of conformity reached 28,530 from 2008 until July 2022 against 28,182 during the same period in 2021. Concerning middle-class dwellings, they are counted at 11,328 units (32 agreements covered between 2013 and July 2022). Thus, the private sector holds 27 agreements for 9,655 completed dwellings, while the public sector is content with 5 agreements (1,673 dwellings). During the same period, the number of middle-class units which received the certificate of conformity was 253. With regard to social rental housing, it has an agreement aimed at renting 50 housing units from 2010 until July 2022.
In terms of overall production and housing starts, 278,788 housing units were produced in 2021 (140,298 units, lots and housing including 109,157 economic and social units and 138,490 units under restructuring) compared to 256,671 housing units in 2020, in increase of 8.62%. As for housing starts in 2021, they amount to 248,122 units against 240,501 in 2020.