Mauritius Economy: Q1 2023 GDP Growth Moderates to 5.5%
The Mauritian economy’s GDP growth moderated to 5.5% (y-o-y) in Q1 of 2023, its slowest pace in six quarters, from 7.6% in the final quarter of 2022. The moderation was led by segments such as manufacturing, financial and insurance services, wholesale & retail trade, and accommodation & food service activities. Further, sectors such as construction, transportation & storage, and water supply and management improved from the previous quarter. Meanwhile, the total GVA growth rate was seen at 6%, down from 8.3% in Q4 2022. The global slowdown is expected to soften the country’s performance in 2023, with the World Bank estimating the Mauritian economy to grow at 5.5% in 2023, from 8.8% in 2022. This is lower than the central bank’s forecasts of economic growth of ‘more than 6%’ in 2023. Key Highlights:
- Q1 2023 GDP moderated to 5.5% y-o-y, its slowest pace in six quarters.
- Total GVA growth rate was seen at 6%, down from 8.3% in Q4 2022.
- While CPI remained unchanged, core CPI eased to a 20-month low of 5% y-o-y, in June.
- Trade deficit widened to MUR 21.7 billion in May, from MUR 17.8 billion a year ago.
- FX reserves rose to MUR 306.9 billion in June, providing import cover of 10.3 months.
- Tourist arrivals stood at 82,208 in June, taking 2023 footfall to 596,466.
- Government’s gross operating balance turned positive for the first time in six months, in May.