Government debt in Mauritius
Everything the government owes, compared with the size of the economy.
87.8%
Where it stands
Public-sector debt was estimated at Rs 681.9bn, 87.8% of GDP, at end-June 2026, down from 88.5% in June 2025 (Budget Speech). The IMF's narrower general-government measure was 86.5% for 2025. The Budget projects 85.5% by June 2027 and below 80% by June 2029. In rupees, debt keeps rising, to about Rs 782bn by 2028-29, and interest alone costs about Rs 30bn in 2026-27 (+12%), according to the Budget figures compiled by MCCI.
What it means
High debt means high interest bills, Rs 26.9 billion in the 2025-26 Budget, 10.7% of all government spending, money that cannot go to hospitals or schools. It also puts Mauritius' investment-grade credit rating at risk; a downgrade would raise borrowing costs for the State, businesses and households alike.
Recent years
| Year | Government debt |
|---|---|
| 2021 | 86.1% |
| 2022 | 81.8% |
| 2023 | 81.5% |
| 2024 | 86.1% |
| 2025 | 86.5% |
Why it moved
2021: Eased from the 2020 COVID peak (91.9%) as the economy recovered, but stayed high after wage-assistance and health spending.
2022: Fell, not because debt was repaid, but because the economy grew fast and inflation lifted nominal GDP.
2023: Stable.
2024: Jumped on heavy pre-election spending. The incoming government's December 2024 review of the economy found the public finances weaker than previously reported.
2025: Stayed high.