Mauritius poverty rate to fall below 10% by 2028
Projections show a sustained decrease in poverty, despite imported inflation and currency depreciation impacting purchasing power.
Mauritius aims to reduce its poverty rate to 9.8% by 2028, down from an estimated 12% in 2026, according to economic projections. This anticipated decline is supported by the resilience of the nation's economic pillars and the effectiveness of its social protection systems. The international poverty line used for this measurement is $8.30 USD per day in purchasing power parity.
Despite the overall positive trend, Mauritius faces challenges from the gap between GDP growth and high-value job creation, as well as a demographic shift towards an aging population. Households are experiencing an erosion of purchasing power due to a combination of rising global oil prices, increased maritime freight costs, and the continued depreciation of the Mauritian rupee.
The government's social safety nets, including universal and targeted pensions and subsidies, distinguish Mauritius from many emerging economies. However, maintaining this extensive social support in the face of persistent imported inflation places a significant strain on public finances and national debt.
Why it mattersHouseholds in Mauritius are affected by a decrease in their purchasing power due to rising costs of imported goods and a weakening currency.