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Friday, 25 September 2026 · Pan-African Newsroom
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AfDB

Mauritius Economy Set for 3% Growth in 2026 as Country Navigates Fiscal Pressures

Mauritius is projected to grow by 3% in 2026 before strengthening to 3.8% in 2027, according to the African Development Bank.

Mauritius’ economy is projected to grow by 3% in 2026 before strengthening to 3.8% in 2027, according to the African Development Bank’s Country Focus Report 2026.

The outlook follows real GDP growth of 3.2% in 2025 and 4.9% in 2024, with the report pointing to a more challenging global environment for an economy exposed to international trade, tourism and imported energy.

Growth expected to strengthen in 2027

The AfDB projects a moderation in growth this year followed by a recovery in 2027. Mauritius remains one of Africa’s more diversified and financially developed economies, with tourism, financial services and other services playing important roles alongside manufacturing and trade.

The report also identifies longer-term priorities including productivity, export competitiveness, skills development and infrastructure investment as Mauritius works to strengthen its growth model.

Fiscal pressures remain part of the outlook

Gross public debt reached 88.6% of GDP in the 2024/25 fiscal year, up from 83.4% a year earlier, while the fiscal deficit widened to 9.3% of GDP from 8.5%.

The figures increase the importance of fiscal management as the country seeks to maintain investment in infrastructure, productivity and economic transformation.

Inflation remains within target range

Annual average headline inflation increased slightly to 3.7% in 2025 from 3.6% in 2024 but remained within the monetary-policy target range of 2% to 5%, helped by lower global commodity prices.

Mobilising domestic investment

The AfDB highlights stronger domestic revenue mobilisation, improved public financial management and greater use of institutional investors, public-private partnerships and private capital as policy options for sustaining investment.

Mauritius’ position as an international financial centre could also provide an advantage in mobilising capital and directing more financial assets toward productive domestic investment.

Source: African Development Bank, Country Focus Report 2026 – Mauritius: Mobilizing Mauritius’ Development Financing at Scale in a Fragmented World.


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