Morocco climbs 30 points in inequality ranking, but challenges remain

Oxfam and Development Finance International’s 2024 Commitment to Reducing Inequality Index placed Morocco 73rd out of 164 countries worldwide, marking a 30-position improvement compared to the 2022 ranking.

This places Morocco among the top countries making the most progress in this area, alongside Malaysia and Paraguay, which both advanced by 26 places.

The index ranks countries using the latest data from government budgets and is based on three main sub-indices: public service spending (health, education, social protection), taxes (income tax and value-added tax), and worker rights.

Morocco ranked 90th out of 164 countries in public service spending, 21st in taxes, and 97th in worker rights.

Norway topped the global ranking, followed by Canada and Australia. South Sudan, Nigeria, and Zimbabwe ranked lowest. Israel led the Middle East and North Africa region, followed by Jordan, while Bahrain ranked last.

The 2024 Commitment to Reducing Inequality Index calls on countries to prioritize spending on essential public services, especially middle- and low-income countries, which are recommended to allocate 15% of public spending to health and 20% to education, ensuring that the poorest benefit through improved access and quality.

The report notes that all countries need to focus more on reducing labor market disparities by ratifying and enforcing all International Labor Organization standards and conventions. They should also enact laws to combat discrimination, harassment, and sexual assault, ensure equal pay, and raise minimum wages.

The report also highlights that 94% of countries currently receiving loans from the World Bank and the International Monetary Fund have reduced their vital investments in education, health, and social protection over the past two years, and  recommended that countries develop clear, time-bound national plans to reduce inequality.

The report urges the World Bank and the IMF to focus on reducing inequality by supporting, not undermining, national economic reform plans and prioritizing inequality reduction in all their lending programs. It emphasizes the need for urgent measures to address the debt crisis and increase concessional financing flows.

The report calls on the international community, led by the G20, the United Nations, and international donor agencies, to reduce debt service burdens by lowering global interest rates and reducing borrowing costs for middle- and low-income countries that must turn to the markets to finance their budgets. It also advocates for debt rescheduling and long-term cancellation for low-income countries.