Moroccan Government Announces General Wage Boost for Public Workers

Students attend a class at Mohammed VI Institute for training Imams in Rabat, Morocco April 16, 2019. REUTERS/Youssef Boudlal
Students attend a class at Mohammed VI Institute for training Imams in Rabat, Morocco April 16, 2019. REUTERS/Youssef Boudlal
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Moroccan Government Announces General Wage Boost for Public Workers

Students attend a class at Mohammed VI Institute for training Imams in Rabat, Morocco April 16, 2019. REUTERS/Youssef Boudlal
Students attend a class at Mohammed VI Institute for training Imams in Rabat, Morocco April 16, 2019. REUTERS/Youssef Boudlal

The Moroccan government has announced upping wages for nearly 800,000 state body and public administration employees over the next three years. The boost, estimated at $700 million, will work to reinforce the political and social stability of the kingdom.

The announcement was made after the government, three trade unions and the General Confederation of Enterprises of Morocco (CGEM) signed an agreement to not only increase wages, but also social benefits in the country.

Addressing the deal’s signatories, Moroccan Prime Minister Saad Eddine El Othmani said the agreement affects minimum wages, social protection payments, and trade union freedoms.

Dubbing the deal as vital, Othmani noted that it “will contribute to laying the foundations for social peace, improving social conditions and strengthening the national economy through establishing a sound economic and social environment.”

The agreement will be effective from 2019 to 2021. Depending on the employee’s position, wages will increase by up to MAD 400 or 500 ($42 or $52) per month, starting at MAD 200 ($20) per month on May 1, 2019.

Othmani indicated this would involve total spending of MAD 2.5 billion ($260 million) during 2019, and up to MAD 7 billion ($724 million) in 2021.

The agreement will establish a new minimum wage for national education sector employees. This is expected to benefit more than 24,000 employees, with a government spending of over MAD 200 million (roughly $21,000).

The government will also increase the minimum wage in the private sector (industry, trade, services, and the agricultural sector) by 10% over two years, with a 5% increase taking effect in July 2019 and a further 5% increase in July 2020.

The agreement also stipulates an increase in family benefits for public and private sector workers. Family compensation will increase by MAD 100 ($10.35) per child, for up to three children, from 1 July 2019, tweeted Moroccan television channel 2M.

“The Government is committed to mobilizing the necessary financial resources to cover the costs of this agreement,” Othmani reasserted.



Strait of Hormuz Ship Crossings Remain in Single Digits

FILE PHOTO: Vessels near the Strait of Hormuz, as seen from Musandam, Oman, September 2, 2026. REUTERS/Stringer/File Photo
FILE PHOTO: Vessels near the Strait of Hormuz, as seen from Musandam, Oman, September 2, 2026. REUTERS/Stringer/File Photo
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Strait of Hormuz Ship Crossings Remain in Single Digits

FILE PHOTO: Vessels near the Strait of Hormuz, as seen from Musandam, Oman, September 2, 2026. REUTERS/Stringer/File Photo
FILE PHOTO: Vessels near the Strait of Hormuz, as seen from Musandam, Oman, September 2, 2026. REUTERS/Stringer/File Photo

Vessel transits through the Strait of Hormuz remained in the single digits at four on Tuesday, down from seven a day earlier, preliminary shipping data showed on Wednesday, falling well short of the 10-day average of 18.

The drop in traffic through the waterway that handled one-fifth of the world's oil and liquefied ⁠natural gas supply before ⁠the Iran war comes after attacks in the region intensified.

Of the total on Tuesday, two ships were exiting and two were entering, according to the data.

No very large crude carriers ⁠or liquefied natural gas tankers were involved.

Some ships may be sailing through the waterway with their transponders turned off and they are therefore not counted.

One very large gas carrier, Salute, carrying around 470,000 barrels of liquefied petroleum gas exited via the Iranian route, while Panamax-sized tanker Nautilus, carrying around 510,000 barrels of naphtha, exited ⁠via ⁠an unknown dark route, Reuters reported.

The two ships that entered were both laden, with one being a short-range dirty products tanker and the other a dry bulk carrier. Both entered via the Iranian route.

Meanwhile, the number of ships sailing through the Bab el-Mandeb Strait was at 22, little changed on Tuesday compared with a day ago at 24.


Türkiye 2027 Inflation Target Realistic, Minister Says

People shop at the Eminonu district of Istanbul, Türkiye, April 25, 2025. (Reuters)
People shop at the Eminonu district of Istanbul, Türkiye, April 25, 2025. (Reuters)
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Türkiye 2027 Inflation Target Realistic, Minister Says

People shop at the Eminonu district of Istanbul, Türkiye, April 25, 2025. (Reuters)
People shop at the Eminonu district of Istanbul, Türkiye, April 25, 2025. (Reuters)

Türkiye's 2027 inflation target in its medium-term program is regarded as realistic by markets, provided that the Iran war does not continue next year, Finance Minister Mehmet Simsek said in an interview with broadcaster Haberturk on Wednesday.

Türkiye should normally operate a floating ‌exchange rate regime, ‌as it provides the ‌basis ⁠for responding correctly ⁠to shocks, Simsek said.

Türkiye has always provided wage increases of at least the rate of inflation for all public workers and retirees, and will continue to do so, ⁠he added.

Once inflation ‌falls to ‌single digits, mandatory export proceeds sales requirements could ‌be lifted in favor of ‌a freer regime, he also said.

Conditions for removing the mandatory export sales requirement have not yet been met and ‌Türkiye will review the matter when they arise.

The government expects ⁠inflation ⁠to slow to 28.4% this year and to 21% in 2027 before dropping to single digits in 2029 — about two years later than previously predicted.

The US-sanctioned Golden Global Yatirim bank is small and poses no systemic risk, Simsek also said, calling on other banks to comply with international regulations and strengthen compliance.


Bahrain's Alba Says Produces 1.3 Million Tons Per Year of Aluminium

The Bahraini capital (Reuters)
The Bahraini capital (Reuters)
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Bahrain's Alba Says Produces 1.3 Million Tons Per Year of Aluminium

The Bahraini capital (Reuters)
The Bahraini capital (Reuters)

Aluminium Bahrain, known as Alba, is currently producing aluminium at an annualized rate of 1.3 million metric tons, versus a pre-Iran war capacity of around 1.6 million tons, its CEO said on Wednesday.

Alba, which describes itself as the world's biggest aluminium smelter on one site, shut down production ⁠lines 1, 2, and ⁠3 following the outbreak of the war as the closure of the Strait of Hormuz restricted exports. The plant was then hit by an Iranian attack in late March.

Alba is now operating lines 4, 5 and 6 at its smelter, equivalent to 1.3 ⁠million tons per year, Ali Al Baqali told Reuters on the sidelines of the Fastmarkets Aluminium Conference in Budapest.

He described the Iranian strike as a "small, minor attack.”

"We got damages and we already repaired them. Nothing needed," Al Baqali said, adding that Alba had been covered by insurance.

Its overall capacity will return to 1.6 million tons when it completes its acquisition of French smelter Aluminium Dunkerque in the next couple of months, Al ⁠Baqali said.

To ⁠maintain production, Alba is bringing in 300 to 350 trucks carrying raw material alumina on a daily basis, the CEO said.

"We are managing to receive around 7,000 metric tons of alumina every day," Al Baqali said, describing the logistics operation as "expensive,” but offset by the high London Metal Exchange aluminium price and premiums for physical metal.

Alba is exporting metal via the Saudi port of Jeddah on the Red Sea and from Sohar in Oman, Al Baqali said, as hostilities in the Middle East continue.