The Moroccan government said in a statement on Friday it plans to reduce its budget deficit to 4.3 percent of gross domestic product (GDP) in 2015 from an estimated 4.9 percent this year, according to Reuters.
The North African country expects its economy to grow 4.4 percent next year, after slowing to 2.5 percent in 2014.
It is also planning to spend 23 billion Moroccan dirhams on subsidies in 2015, down from 35 billion in 2014 and 42 billion in 2013.
Morocco is under pressure to cut spending from international lenders, mainly the International Monetary Fund and the World Bank, as well as bond markets.
But the government needs to balance austerity measures with their potential to trigger social and political unrest.
Morocco's three largest labour unions have called for a 24-hour national strike in the public and private sectors on Oct. 29 to protest against government reforms such as to subsidies and the pension system.
Unions accuse the Islamist-led government of destroying living standards by rising prices and planning a painful pension system reform.
However, the government says it is planning to recruit 22,500 staff for the public administration, which would put its wage bill in the public sector at 105.51 billion dirhams or 10.8 percent of GDP, up from 86 billion in 2011.