1. As the newly appointed Governor, how would you describe your overarching vision for the Bank of Mauritius, and what immediate priorities are guiding your leadership at this pivotal moment for the economy?
My vision is to cement the reputation of the Bank of Mauritius as an independent and credible central bank capable of delivering on its mandate for the benefit of the economy and the population.
I also aspire for the Bank to be a modern, agile, and globally respected institution that drives innovation, integrity, and resilience in the financial system.
This is especially important in an environment characterized by heightened geopolitical uncertainty, technological disruption, and climate-related challenges.
Immediate priorities include:
This vision is about balancing tradition with transformation and embracing innovation while preserving stability.
2. Mauritius has demonstrated remarkable resilience amid global uncertainty. How is the Bank of Mauritius balancing inflation management with the need to support sustainable economic growth?
The delicate balance between containing inflation and supporting growth is an ever-present challenge but is especially acute in the current context of high uncertainty and frequent shocks.
The Bank of Mauritius has revamped its monetary policy framework and adopted a flexible inflation targeting framework since January 2023. Under this new framework, the Bank’s focus is to achieve its primary objective of price stability. Specifically, the Bank targets an inflation rate between 2 to 5 percent, with the aim of reaching the midpoint of the range of 3.5 percent in the medium-term.
In parallel, the Bank has upgraded its economic modeling tools to better capture the effects of various shocks on the economy.
The flexible inflation targeting framework helps to guide inflation expectations and the use of better models helps to formulate monetary policy decisions that are more robust to adverse shocks.
3. Monetary policy remains under close scrutiny worldwide. Could you outline the key factors influencing the Bank’s current policy stance, and how you foresee the evolution of interest rates in the medium term?
The Bank’s policy stance is determined by its mandate and guided by its monetary policy framework, notably flexible inflation targeting.
Inflation in Mauritius is shaped by a combination of factors. Domestic activity and price pressures play an important role. In a small open economy like Mauritius, inflation is also closely linked to the global environment given our reliance on imports and relatively high passthrough of global commodity price developments and exchange rate movements. We monitor all of these factors closely. In addition, we also take into account the various risks facing the domestic and global economy.
The Monetary Policy Committee decided to keep the policy rate (‘Key Rate’) unchanged at 4.50 percent per annum at its last meeting in November 2025. This decision was data-driven and reflects a cautious approach against the backdrop of exceptionally high uncertainty. This approach allows gradual adjustments, avoids sending mixed signals, and retains flexibility to respond to unforeseen shocks. Importantly, it recognizes the need to anchor medium-term inflation expectations.
Looking ahead, interest rate decisions will remain data driven. Our goal is to avoid abrupt changes that could destabilize markets or undermine confidence.
4. Financial stability is central to the Bank’s mandate. What measures are being strengthened to ensure the soundness of the banking sector, particularly as Mauritius deepens its role as an international financial centre?
The Bank indeed has a statutory mandate to safeguard financial stability and ensure the soundness of the financial system of Mauritius. Financial stability is simply non-negotiable.
To fulfill our financial stability mandate, the Bank has adopted
We continuously adapt our regulatory standards, supervisory oversight and financial sector surveillance to respond to new emerging risks and ensure that they continue to comply with best practices. In addition, the Bank collaborates with other regulators in Mauritius and other jurisdictions.
5. The digital transformation of financial systems is accelerating rapidly. How is the Bank of Mauritius approaching innovation in areas such as fintech regulation, open banking, and digital payments?
The Bank of Mauritius, like other Central Banks, is having to balance the provision of an enabling framework conducive to innovation with its core mandate and other policy goals such as consumer protection and operational resilience.
Thus, the Bank has been actively working on a number of fronts, namely:
Our goal is to create an ecosystem where technology drives financial inclusion and efficiency, while risks are managed proactively.
6. Many central banks are exploring Central Bank Digital Currencies (CBDCs). What progress has Mauritius made on this front, and how do you evaluate the potential benefits and risks of a digital rupee?
Mauritius has been exploring, with technical assistance from the IMF and through stakeholder consultations, the implications of a digital rupee.
The potential benefits include faster and cheaper transactions, improved financial inclusion, and enhanced payment security.
CBDCs are carry a number of risks, including those linked to cybersecurity threats and operational resilience. Moreover, they may have implications for the conduct and transmission of monetary policy..
These benefits and risks and the evolution of the fintech landscape itself need to be taken into account when deciding on the introduction and design of a CBDC. We are closely examining these elements and keeping abreast of emerging insights on CBDCs from international financial institutions and jurisdictions which have already issued a CBDC .
7. As a globally connected economy, Mauritius must navigate shifts in international taxation, compliance frameworks, and regulatory expectations. How is the Bank ensuring continued credibility and alignment with global standards?
Mauritius’ credibility depends on strict adherence to international norms. The Bank is:
This commitment reinforces Mauritius’ position as a trusted financial jurisdiction and protects its reputation in global markets.
8. The Gulf region, particularly the UAE, has become a strategic partner for Mauritius. What opportunities do you see for deeper financial cooperation with Gulf institutions, especially in fintech, capital markets, and cross-border banking?
The Gulf offers significant opportunities for collaboration. In the three areas that you mention, specifically
These partnerships can unlock new growth avenues and strengthen Mauritius’ role as a financial services hub in the region.
9. The Bank of Mauritius has increasingly emphasized sustainability and climate-related financial risks. What role do you believe the central bank should play in steering the transition to a greener and more resilient financial system?
Central banks have a critical role in addressing climate-related financial risks, notably by:
The Bank of Mauritius established a Climate Change Centre (CCC) in October 2021. It coordinates climate-related initiatives across regulation, monetary policy, sustainable finance, and internal strategy.
The Bank of Mauritius is also actively working alongside other central banks through the Network for Greening the Financial System (the NGFS), sharing expertise and setting international standards.
This is not just about compliance though—it’s about building resilience and ensuring that Mauritius remains competitive in a world increasingly buffeted by climate shocks.
10. Finally, what message would you like to share with Khaleej Times readers about the strength of Mauritius’ financial sector and your long-term vision for ensuring monetary stability, innovation, and international confidence?
Mauritius’ financial sector is strong, innovative, and globally connected. Our long-term vision is clear:
We remain committed to building a future-ready financial system that inspires confidence and drives sustainable growth.
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