- The general election held on 10th November saw the opposition coalition “Alliance du Changement” (ADC), win the country’s election by a landslide.
- Some of the issues concerning Mauritians ahead of the election were:
- The cost-of-living crisis
- Sovereignty over the Chagos Archipelagos islands and
- Weakened governance
- Upon reviewing the election manifesto of the incoming ADC government, we have quantified some of the costs associated with their promises.
- We estimate the additional cost to the government to be around MUR 8.6 billion and MUR 47.7 billion in FY24/25 and FY25/26 respectively.
- While our estimated costs represent significant variations from the 2024 Budget, they may not fully materialize.
- We await the 2025 Budget for more details and note the following:
- Navigating coalition politics will be crucial.
- Fiscal consolidation is necessary to prevent a sharp increase in government costs and maintaining investor confidence.
- A major constraint for the ADC will be the proposed payments for various support measures, some of which are due soon.
- Failure to meet these obligations will limit the government’s ability to fulfill its extensive promises.
- Overall, the ADC must balance fiscal consolidation with diversification efforts to achieve sustainable growth.
Finance & Economy | News & Insights
Mauritius Elections 2024
Published: December 12, 2024
Author: TEXTILE VALUE CHAIN
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