The Monetary Policy Committee (MPC) of the Bank of Mauritius has decided to keep the Key Rate (KR) unchanged at 4.50 per cent per annum. Global economic indicators suggest an improvement in economic activity, while inflation is declining in many countries. The domestic economy has shown positive momentum, driven by sectors such as tourism, services, and manufacturing. Unemployment has decreased, and foreign direct investment flows remain strong. Inflationary pressures in Mauritius have eased, and the Bank forecasts a decline in headline inflation in the coming years. After analyzing various scenarios, the MPC concluded that a further rate increase is not warranted at this time. Therefore, the policy rate will remain unchanged.
Key points:
- The Bank of Mauritius MPC keeps the Key Rate at 4.50 per cent.
- Global economic indicators show signs of improvement.
- Domestic economy has gained momentum with positive growth in key sectors.
- Unemployment has decreased, and foreign direct investment flows remain strong.
- Inflationary pressures have eased in Mauritius, and the Bank forecasts a decline in headline inflation.
- The MPC concludes that a further rate increase is not needed at this stage.
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