The Future of Moroccan and Algerian Defense Policy

(Olivier Unia/Hans Lucas/AFP via Getty Images)

A Moroccan Royal Armed Forces Puma helicopter during a ceremony marking the 26th anniversary of Throne Day on July 30, 2025, in Rabat, Morocco.

In the coming years, Morocco will likely narrow some of its conventional and technological capability gaps with Algeria, though it will remain the smaller force. As it does, Algiers will come under pressure to boost defense spending despite its fiscal constraints. Morocco’s 2026 defense budget saw the country raise its allocation to a record 73.8 billion Moroccan dirhams (about $7.9 billion), a 5.1% increase over the previous allocation. Morocco also invested in advanced systems and domestic production partnerships. Notably, it partnered with Israeli company BlueBird Aero Systems, which opened an UAV manufacturing site near Casablanca in November 2025 — the first facility of its kind in the region. Meanwhile, Algeria allocated 3.21 trillion Algerian dinars (about $24.5 billion) to defense, a decline of around 10% from 2025 after adjusting for inflation.