Mauritius: 2015 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Mauritius
IMF Staff Country Reports, March 22, 2016
Source details
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- Mauritius: 2015 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Mauritius
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Bibliographic details
- Published: March 22, 2016
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781475522662.002
Overview
- The paper discusses key issues related to the economy of Mauritius.
- Publication date: March 22, 2016.
- Main summary points:
- In 2015, the economy of Mauritius has grown at moderate rate.
- Inflation is low.
- The external position has improved.
- Macroeconomic conditions remain stable but the authorities face macrofinancial challenges.
- The medium-term outlook remains favorable, supported by continued low fuel prices and the start of important investment programs.
Recent economic performance (2015)
- Growth: "grown at moderate rate" in 2015.
- Inflation: "inflation is low".
- External sector: "the external position has improved".
Macroeconomic and macrofinancial challenges
- Collapse of a large financial conglomerate:
- Recent collapse affected the real economy.
- Generated macrofinancial challenges for authorities.
- Offshore sector risks:
- Presence of a "massive offshore sector".
- Sizeable inter-linkages between the offshore sector and domestic banking activities create risk exposures and potential spillovers.
Medium-term outlook and drivers
- Outlook: "medium-term outlook remains favorable".
- Key supporting factors:
- "continued low fuel prices".
- "the start of important investment programs".
Policy implications and priorities (implicit in analysis)
- Contain and manage macrofinancial fallout from the collapse of the large financial conglomerate to limit real-economy effects.
- Monitor and mitigate risk exposures and potential spillovers stemming from the massive offshore sector and its inter-linkages with domestic banking.
- Leverage low fuel prices and planned investment programs to sustain medium-term growth.
Subjects and keywords (as listed)
- Subjects: Balance of payments statistics, Bank deposits, Banking, Domestic credit, Economic and financial statistics, Financial institutions, Financial regulation and supervision, Loans, Money, Public debt
- Keywords: Africa, Balance of payments statistics, CR, deficit, Domestic credit, economy status, exchange rate, foreign currency, Global, ISCR, Loans, long-term debt, Mauritian economy, monetary policy transmission mechanism, reform effort, reform strategy, Sub-Saharan Africa, transmission mechanism
International Monetary Fund. Mauritius: 2015 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for Mauritius (March 22, 2016).