This paper evaluates the impact of scholarship aid on higher education outcomes in Morocco, examining whether financial support improves academic performance and progression. Using a sample of 13,300 graduate and undergraduate students observed between 2010 and 2023, the study applies Propensity Score Matching (PSM) with nearest-neighbor, radius, and kernel matching algorithms to compare scholarship recipients with similar non-recipients while controlling for observable characteristics. The results indicate that scholarships significantly improve academic outcomes. In particular, receiving a scholarship reduces the average time required to obtain a diploma by approximately five months and increases the likelihood of graduating with academic distinction. Balance diagnostics and sensitivity analyses confirm the robustness of these estimates. By providing new evidence from a developing-country context, this study contributes to the literature on financial aid, which has largely focused on access or evidence from high-income countries. The findings suggest that scholarship programs in Morocco could be further strengthened by combining financial aid with complementary academic support mechanisms.
Mansouri et al. (Mon,) studied this question.