Home Finance & Business Royal Air Maroc goes on multibillion spending spree after returning to profit

Royal Air Maroc goes on multibillion spending spree after returning to profit

Royal Air Maroc investment surged to 3.5bn dirhams in 2025 as profits topped 2bn dirhams and the airline pushed ahead with fleet expansion.
Royal Air Maroc investment surged to 3.5bn dirhams in 2025 as profits topped 2bn dirhams and the airline pushed ahead with fleet expansion.

Royal Air Maroc is spending heavily to expand its fleet after returning to profit, with investment rising more than twelvefold to 3.5bn dirhams ($371m) in 2025. The national airline made more than 2bn dirhams ($212m) in profit last year, up 154% on the previous year, while revenue rose by 8% to 21.5bn dirhams, according to figures in a report on public enterprises published alongside the draft 2027 budget.

The investment figure compares with 291m dirhams in 2024, when spending fell by 74%. The latest increase marks a sharp acceleration in the airline’s expansion plans after it recorded losses between 2019 and 2022 during the Covid-19 pandemic.

Royal Air Maroc is aiming to grow its fleet from about 71 aircraft in September 2026 to 200 by 2037. It also plans to add more than 100 international destinations and operate 46 domestic routes.

The airline had around 50 aircraft in 2023. It is now using leased planes to increase capacity while waiting for new aircraft to arrive. Deliveries from a major procurement programme are expected to begin in 2028, although production delays and supply-chain problems affecting Boeing and Airbus could slow the process.

Reaching 200 aircraft would mean adding roughly 10 to 12 planes a year over the next decade. The wider fleet expansion is expected to cost about $25bn.

The plan is part of a programme agreed with the government in July 2023 by Royal Air Maroc chief executive Hamid Addou. It is linked to preparations for the 2030 Fifa World Cup, which Morocco will co-host with Spain and Portugal.

By 2037, the airline wants to carry 31.6 million passengers a year and generate annual revenue of 94bn dirhams. It carried 7.5 million passengers in 2025, so it will need to more than quadruple that number to reach its target.

Royal Air Maroc is expanding as competition in the domestic aviation market grows. Ryanair received approval to operate domestic flights in Morocco in 2024, ending the national carrier’s traditional dominance of the market. Air Arabia Maroc is also expanding its regional operations.

The government expects the country to attract 26 million tourists by 2030. The airline wants to benefit from that growth while developing Casablanca’s Mohammed V International Airport into a major hub connecting West Africa with Europe and North America.

Its fleet includes Boeing 737s for short- and medium-haul routes, Boeing 787 Dreamliners for long-haul flights, Embraer 190 regional jets and ATR turboprops.

Leasing aircraft helps the airline add flights before new planes arrive, but it can raise operating costs. The expansion will also require more pilots, cabin crew and maintenance staff, creating recruitment and training challenges.

The government is investing in wider transport infrastructure ahead of the World Cup. It has mobilised $14.8bn through alternative financing for World Cup projects and secured a €270m loan from the African Development Bank to upgrade and modernise airports.

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