In line with Government's compassionate and caring principles for the population, Budget 2025-2026 sets out a series of key measures for the economic wellbeing of the community.
The introduction of various support measures for financial relief and economic support were announced by the Prime Minister, Dr Navinchandra Ramgoolam in his budget speech.
Tax exemptions
The tax exemption threshold is being raised by Rs 110,000, that is, by 28 percent.
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Some 44,000 individuals will be removed from the tax net.
Around 75,000 individuals earning between Rs 500,000 and Rs 1 million in a year will actually be paying less income tax.
As a result of these measures, 81 percent of employees in the country will not pay any income tax.
Increased support to fishers
In a bid to provide increased support to fishers, the following measures will be rolled out:
handing over of free first-aid kit over to all fishers;
provision of navigational aids, mooring aids and solar lights at all the jetties; and
construction of three additional fish sheds.
Moreover, Budget 2025-2026 caters for additional retirement benefits for fishers who return their fishing licenses as follows:
(1) from Rs 125,000 to Rs 200, 000 for artisanal fishers aged 65 years;
(2) from Rs 125,000 to Rs 200,000 for net fishers; and
(3) from Rs 250,000 to Rs 300,000 for cooperatives.
Extending support to the vulnerable groups
Earmarking Rs 67.5 million for implementing ongoing social housing projects for Social Register of Mauritius (SRM) beneficiaries.
Provision of free internet connection to families under the SRM.
Increase in the daily capitation grant for elderly residents of charitable institutions from Rs 295 to Rs 500.
Patients who are beneficiaries of Basic Pensions will continue to receive their pensions when staying abroad for treatment for a period exceeding six months, provided it is recommended by the Medical Board.
Other key measures to improve the quality of life of citizens comprise the following:
removal of Value Added Tax on a number of food products giving priority to the well-being of consumers and bringing down the cost of living;
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abolition of the registration duty applicable on the sale and transfer of domestic pre-owned vehicles;
establishment of a Rs 10 billion Price Stabilisation Fund with an initial contribution of Rs 2 billion to lower the costs of living;
earmarking of Rs 2.4 billion for drain infrastructure projects across the island; and
provision of an envelope of Rs 3.1 billion for the water sector to ensure that every family has uninterrupted access to tap water.
