Budget philosophy: an exercise in continuity to “reduce inequalities to increase growth”

The Budget presented by the Minister of Finance, Friday afternoon in Parliament, is structured, by his own admission, around three “essential” pillars which are “cultivating the economic dynamism of the country; move forward towards the sustainability and resilience of Mauritius and build our future”.

Because, from the point of view of the Grand financier, “a dynamic economy creates more opportunities, better jobs, increased productivity, greater investments, better redistribution, lower inflation, a debt/Gross Domestic Product ratio ( GDP) lower and less inequalities.

And to cultivate this economic dynamism, “we must improve the business climate in order to maintain higher levels of investment. We must make the labor market more active to increase our productivity and competitiveness. We must strengthen sectoral development for a very diversified economy.”

When reading his Budget, Minister Padayachy displays his ambition: A GDP of Rs 1,000 billion by 2030, that is to say at the end of a new mandate, if this government is returned to power after the general elections scheduled for a few months and if he remains Minister of Finance. For 2023, the country's GDP stood at Rs 651.7 billion.

Renganaden Padayachy, on several occasions, hammers home the social philosophy of the government which, since taking office, has “placed Mauritians at the heart of its action”. And this is done by “investing in people by reducing inequalities to increase growth and development”. And he adds, “with the support of this philosophy, we are here today, stronger and more united than ever”.

However, he admits, over the last five years “our economy has suffered its worst shocks since Independence. Overcoming the unimaginable, we managed to preserve and even improve the livelihoods of the population.”

Its present Budget, entitled “Tomorrow is ours”, is in line with its previous Budgets while respecting “our philosophy”. As a reminder, the Budgets since 2019 have had the titles: “Embracing a brighter future together as a nation”, “Our new normal, the economy of life”, “Better together”, “With the people, for the people”, and “To dare & to care”.

Renganaden Padayachy affirms that he wants the growth of Mauritius “in the service of social progress, for all and with all, robust, inclusive and sustainable growth. In a word, resilient.”

The sine qua non condition to prosper is “to write our destiny in unison and with ambition”.