World Bank projects 2.7% growth for Mauritius in 2026
By the AFREEQUE newsroom, based on Defimedia
The World Bank projects 2.7% growth in Mauritius in 2026 and inflation of 4.7%, amid weaker external demand and rising costs. Tourism and financial services are expected to support activity, while manufacturing, agriculture and construction are exposed, according to projections in its Macro Poverty Outlook report reported by Le Défi Quotidien.
The World Bank projects 2.7% growth for Mauritius’s economy in 2026, according to projections in its Macro Poverty Outlook report reported by Le Défi Quotidien on 23 October. The institution anticipates a slowdown linked to weaker external demand, rising input costs and supply-chain disruptions.
Inflation is expected to reach 4.7% in 2026, notably driven by higher energy, raw material and transport prices. The current-account deficit is expected to stand at 6.8% of gross domestic product (GDP), due to a decline in goods exports and a higher import bill.
Manufacturing, agriculture and construction are among the exposed sectors. Textiles are expected to continue their decline, while tourism and financial services should support activity despite a less favourable international environment.
The Mauritian authorities plan to reduce the budget deficit to 6.5% of GDP in 2026. They are counting in particular on higher tax revenues, spending controls and public-sector efficiency reforms. The measures mentioned include a new tax bracket for high incomes, higher excise duties and a tax on insurance premiums.
The growth forecast forms part of a broader debate on the country’s economic prospects. The World Bank previously estimated that reforms could increase Mauritius’s GDP by 6.7% by 2050.
