Pre-budget analysis 2017
Setting the context for the budget
This paper analyses the prevailing context of the Mauritian economy from an evolutionary perspective, highlighting critical issues, and consequently proposing possible remedial strategies.
The forthcoming budget speech on 8 June 2017, Thursday by Finance Minister, Pravind Jugnauth, is of paramount importance because economic operators and the population in general have high expectations from this exercise.
The Mauritian economy is faced with a number of challenges and the Government needs to come with policy measures to address structural bottlenecks, infrastructural gaps, promote investment, and exports as opposed to consumption. Productive investment with less reliance on real estate would result in better prospects for exports and employment. The export sector holds the key to prosperity of the nation. Policy measures should also be able to accelerate digitisation and innovation across all sectors thereby uplifting productivity, efficiency, and overall economic growth.
This year's budget is an opportunity for the Government to adopt a structural, bold, and visionary approach in order for Mauritius to break free from a decade of anemic economic growth and usher in a period of higher sustained growth.