Mauritius

The central bank of the Indian Ocean island of Mauritius left its benchmark interest rate steady but lowered its forecast of economic growth this year to a contraction of 13 percent versus its July forecast of a 12.5 percent contraction as its economy continues to suffer from the impact of the COVID-19 pandemic.

The central bank of Mauritius left its benchmark interest rate steady, saying the two rate cuts earlier this year are still working their way through the economy, which is expected to shrink 12.5 percent this year, and the current monetary policy stance is deemed appropriate.

Moody's Investors Service has today changed the outlook on the Government of Mauritius's rating to negative from stable. Concurrently, Moody's has affirmed the Baa1 long-term issuer rating.

Mauritius' central bank left its Key Repo Rate (KRR) unchanged at 3.35 percent but lowered its growth forecast for this year, saying economic developments since August "have been less favorable than expected and downside risks to the growth outlook have increased."