Why Mauritius pay reform without productivity reform reshapes the State’s fiscal future
BnA IQ- Research
Mauritius’ December 2025 Pay Research Bureau (PRB) decision is far more than a public-sector pay revision. The Price of the State dissects the PRB 2026 Report and Cabinet’s phasing decision, showing how a headline wage increase—costed at around Rs10.9 billion annually—becomes a pivotal economic signal about fiscal space, debt credibility, productivity reforms, and governance capacity. This incisive study places the pay decision within the macro-fiscal constraint envelope, explores its implications for state productivity and delivery, and lays out policy scenarios and recommendations that bridge pay with performance. Essential reading for policymakers, economists, business leaders and informed citizens, the report challenges conventional narratives and proposes a PRB-Plus architecture to turn wage policy into measurable public value.
