Dr the Honourable Renganaden Padayachy, Finance Minister, has delivered his second Budget Speech in a challenging context marked by the continued prevalence of COVID-19 worldwide, including in major trading partners of Mauritius. He has presented a roadmap for taking the national economy out of the current fragile and unbalanced growth environment, towards long-term resilient growth based on investment and confidence revival, as well as a new economic architecture centred on renewable energy and green industry.
Since the last budget, the authorities have pursued, and even extended, unconventional support policies to safeguard economic livelihood of people and stability of the financial system. In parallel, commendable efforts have been made to procure COVID-19 vaccines for the Mauritian population, with the objective of attaining herd immunity by the end of 2021. However, upkeeping of public health through lockdowns and border restrictions has unsurprisingly, had adverse impact on the economic standing of the country, culminating in a downgrade of Mauritius by Moody’s in March 2021 on account of weakening of fiscal and economic strength. Our alert sets out the key budgetary measures announced.