Effectiveness of Moroccan public policies in promoting pro-poor growth

Abstract

This study examines the impact of public policies on pro-poor growth in Morocco, focusing on five key areas. Using data from 2000 to 2022 and a robust least squares estimation methodology, the results show that public efforts to improve access to education, create jobs, redistribute income, promote financial inclusion, and enhance institutional quality all have a positive and significant impact on pro-poor growth. Improving access to education has a strongly positive effect on pro-poor growth, strengthening human capital and increasing productivity. Job creation shows a significant, albeit moderate, positive impact, highlighting the importance of investments in infrastructure and the labor market. Income redistribution through social and health expenditures also has a significant positive effect, improving the well-being of poor populations. Promoting financial inclusion shows a moderate positive effect, allowing disadvantaged populations to access financial services. The quality of institutions has a strongly positive impact, fostering political stability and transparency. Additionally, some control variables such as inflation and trade openness have a negative impact on pro-poor growth. High inflation erodes the purchasing power of poor households, and trade openness can exacerbate economic imbalances and inequalities. The management of public debt did not show a significant relationship with pro-poor growth in this model.