AfDB Approves $240M Loan to Mauritius for Economic Competitiveness and Resilience

The program's direct beneficiaries include the Mauritian Minister of the Economy, Planning, and Development, along with other ministries responsible for the covered areas.

The Board of Directors of the African Development Bank Group has given the green light to a $240 million loan to Mauritius in Abidjan on May 22, 2024, to support the implementation of the second phase of the Economic Competitiveness and Resilience Support Program.

Kennedy Mbekeani, the African Development Bank's Country Manager in Mauritius, highlighted the objectives of the second phase, emphasizing its role in enhancing economic diversification, competitiveness, and resilience while fostering more inclusive, sustainable growth. He underscored the program's significance in facilitating economic recovery post-Covid-19 through fundamental reforms aimed at improving the business environment and the real economy.

Key aspects of the program include:

Support for Fisheries Sector: Measures will be implemented to strengthen the fisheries sector, including the approval of a fisheries framework bill to address gaps in current legislation and enhance regulation, particularly concerning unregulated fishing and sanctions. These efforts aim to boost the fishing sector, create new employment opportunities, and generate additional income for Mauritians.

Agriculture and Livestock Farming Strategic Plan: The program will assist in the approval and implementation of a strategic plan for the agriculture and livestock farming sectors (2024-2030), focusing on increasing production for resilient food security, promoting sustainable production practices, and fostering entrepreneurship and agro-industry.

Installation of Rooftop Solar Panels: The program will support the installation of rooftop solar panels, particularly for households with modest incomes, using 1.5 kilowatt-hour solar kits. Beneficiaries will enjoy a significant reduction of 75 kWh in their monthly electricity bills for 20 years. This initiative not only promotes the adoption of renewable energy sources and reduces greenhouse gas emissions but also aims to alleviate poverty among vulnerable households.

The program's direct beneficiaries include the Mauritian Minister of the Economy, Planning, and Development, along with other ministries responsible for the covered areas. Additionally, the private sector stands to benefit from improved investment opportunities, particularly in the agro-industry sector.

The approval of this loan underscores the African Development Bank's commitment to supporting Mauritius in its journey towards economic resilience, competitiveness, and sustainable development.