WASHINGTON, February 19, 2026 — Mauritius faces mounting climate risks, but decisive action can transform these challenges into engines of job creation and inclusive growth. By investing in renewable energy and the sustainable use of ocean resources for economic growth and improved livelihoods, while preserving the health of the ocean ecosystems, Mauritius could generate up to 32,000 jobs by 2030, reveals a new World Bank Group report.
The Mauritius Country Climate and Development Report (CCDR), launched today by the Government of Mauritius and the World Bank Group, identifies key reforms and investments to build resilience, expand economic opportunities, and ensure that Mauritians are equipped to thrive.
The report underscores the need for urgent action. If reforms are not rapidly undertaken, climate impacts could reduce GDP by up to 4 percent by 2050.
“The flash floods of 30 March 2013 were a real eye-opener for the population of Mauritius. They exposed how vulnerable we are to climate extremes,” said the Honorable Rajesh Anand Bhagwan, Minister of Environment, Solid Waste Management and Climate Change for Mauritius. “This report confirms that climate change is not a distant threat but our economic and social lived reality. Our responsibility is clear: to act decisively and in a timely manner, build resilience, inform and empower our people, protect our natural assets, and safeguard our nation’s future.”
The report emphasizes that to build resilience by 2050, Mauritius must reinforce macro-fiscal and institutional foundations, reorient tourism, ocean, and energy sectors toward sustainability and reduce exposure to climate impacts through targeted adaptation.
Bold action across key sectors will be needed, from steering tourism toward higher value, low impact growth to unlocking blue economy jobs through legal reforms and full implementation of the Marine Spatial Plan. Accelerating clean energy investment, improving water security, and strengthening public finances, paired with targeted adaptation efforts and investments in climate relevant skills would reduce climate losses and position the economy for sustainable, inclusive growth.
“We owe it to our country and generations present and future, to preserve and build a legacy of climate resilient and environmentally sustainable Mauritius. Achieving climate resilience and environmental sustainability are important for macroeconomic and financial stability, as well as for the broader development and wellbeing of our people and our nation,” added Honorable Dhaneshwar Damry, Mauritius’ Junior Minister of Finance.
High public debt and limited fiscal space constrain the country’s ability to respond, yet the CCDR shows that Mauritius can afford to act, provided that climate actions are complemented by robust measures to strengthen public finances and set the public debt-to-GDP ratio on a downward trend. Steering the economy onto a more resilient and sustainable path would require a modest increase of 4% of GDP in public debt—an investment that could transform climate risks into development opportunities.
Delivering on the CCDR’s recommendations will require $5.6 billion in additional investment over the next 25 years (in net present value terms). With an estimated annual gap of $213 million, public finances must play a catalytic role in mobilizing private capital. Domestic banks, insurers, pension funds, and payments for ecosystem services can help close the gap, provided the public sector leads in de-risking investments.
“By improving the enabling conditions for climate adaptation initiatives, such as coastal protection, water security, infrastructure resilience, loan derisking, and facilitating the implementation of low-carbon solutions such as renewable energy and energy efficiency, Mauritius can unlock new opportunities for growth, jobs, and wellbeing while safeguarding its people and environment,” said Sjamsu Rahardja, World Bank Group Resident Representative for Mauritius. “The CCDR provides a clear and actionable framework for aligning Mauritius’ development ambitions with climate resilience.”
About the Climate and Development Reports
The World Bank Group's Country Climate and Development Reports (CCDRs) are new core diagnostic reports that integrate climate change and development considerations. They will help countries prioritize the most impactful actions to reduce greenhouse gas (GHG) emissions and boost adaptation while delivering broader development goals. CCDRs build on data and rigorous research and identify main pathways to reduce GHG emissions and climate vulnerabilities, including the costs, challenges, benefits, and opportunities. The reports suggest concrete, priority actions to support the low-carbon, resilient transition. As public documents, CCDRs aim to inform governments, citizens, the private sector, and development partners and enable engagements with the development and climate agenda. CCDRs will feed into other core Bank Group diagnostics, country engagements, and operations and help attract funding and direct financing for high-impact climate action.
