Glossary and Technical Definitions: Decoding the Mauritius Outlook

Mauritius Real Outlook 2025–2029 • Section 48 • Final Section

Glossary of Terms

Clear, neutral definitions of technical, economic, legal, governance, and policy terms used throughout the Outlook—prioritising institutional usage and internationally accepted meanings rather than colloquial or political interpretations, ensuring interpretive consistency, accessibility for non-specialist readers, and methodological transparency

Purpose of the Glossary

Clarity and Precision
This glossary provides clear, neutral definitions of technical, economic, legal, governance, and policy terms used throughout the Mauritius Outlook 2024–2029. Definitions prioritise institutional usage and internationally accepted meanings rather than colloquial or political interpretations. Where terms carry different meanings across disciplines, the definition used in this report is specified.

This glossary provides clear, neutral definitions of technical, economic, legal, governance, and policy terms used throughout the Mauritius Outlook 2024–2029. Definitions prioritise institutional usage and internationally accepted meanings rather than colloquial or political interpretations.

Where terms carry different meanings across disciplines, the definition used in this report is specified. This section is intended to ensure interpretive consistency, accessibility for non-specialist readers, and methodological transparency.

Macroeconomic and Financial Terms

Macroeconomic and Financial Terms
Balance of Payments (BoP)
A statistical record summarising a country's economic transactions with the rest of the world over a specific period, including goods, services, income, transfers, and financial flows.
Current Account
A component of the BoP covering trade in goods and services, primary income (such as investment income), and secondary income (such as remittances).
Capital Account / Financial Account
BoP components capturing capital transfers, foreign direct investment, portfolio investment, and other cross-border financial flows.
Foreign Direct Investment (FDI)
Cross-border investment where an investor acquires a lasting interest and significant influence in an enterprise operating in another economy.
Exchange Rate Regime
The framework governing how a country's currency is managed relative to other currencies, ranging from free floating to fixed or managed arrangements.
Foreign Exchange Reserves
External assets held by a central bank to support currency stability, manage liquidity, and meet external obligations.
Import Dependence
The extent to which an economy relies on imported goods or energy to meet domestic demand.

Fiscal and Public Finance Terms

Fiscal and Public Finance Terms
Fiscal Space
The capacity of a government to increase spending or reduce taxes without jeopardising fiscal sustainability or macroeconomic stability.
Public Debt (Gross / Net)
Total outstanding financial liabilities of the government. Net debt adjusts gross debt for government-held financial assets.
Primary Balance
The fiscal balance excluding interest payments on public debt.
Recurrent Expenditure
Ongoing government spending required for day-to-day operations, including wages, subsidies, and administrative costs.
Capital Expenditure
Public spending on long-term assets such as infrastructure, equipment, and development projects.

Governance, Institutions and Law

Governance, Institutions and Law
Rule of Law
The principle that all persons and institutions, including the state, are accountable to laws that are publicly promulgated, equally enforced, and independently adjudicated.
Judicial Independence
The degree to which courts and judges operate free from political interference or undue external influence.
Separation of Powers
A constitutional doctrine dividing authority among the executive, legislature, and judiciary to prevent concentration of power.
Captured State
A condition in which public institutions systematically serve narrow interests rather than the public good, often through entrenched political–economic networks.
Mixed Legal System
A legal system combining elements of civil law and common law traditions within a single jurisdiction.

Labour, Households and Social Indicators

Labour, Households and Social Indicators
Cost of Living
The level of expenditure required to maintain a given standard of living, commonly measured using consumer price indices.
Household Disposable Income
Income available to households after taxes and transfers, used for consumption or saving.
Underemployment
A labour market condition where individuals work fewer hours than desired or are employed below their skill level.
Informal Employment
Economic activity not regulated or protected by formal legal or social security frameworks.
Poverty Headcount Ratio
The proportion of the population living below a defined poverty line.

Trade, Industry and Services

Trade, Industry and Services
Merchandise Trade
Trade in physical goods measured on a free-on-board (exports) or cost-insurance-freight (imports) basis.
Services Exports
Cross-border provision of services such as tourism, financial services, transport, or ICT.
Global Business Companies (GBCs)
Entities licensed to conduct international business activities under specific regulatory frameworks.
Market Concentration
The extent to which a small number of firms dominate a market, often measured using concentration ratios or indices.

Energy, Climate and Environment

Energy, Climate and Environment
Energy Import Dependence
The share of total energy use met through imports rather than domestic production.
Renewable Energy
Energy derived from sources that are naturally replenished, such as solar, wind, hydro, and bioenergy.
Climate Physical Risk
Economic and social risks arising from direct climate impacts such as floods, cyclones, sea-level rise, or heat stress.
Transition Risk
Risks associated with policy, technological, or market changes during the shift to a low-carbon economy.
Ecosystem Services
Benefits provided by natural systems, including coastal protection, fisheries, tourism, and biodiversity.

Strategy, Scenarios and Analysis

Strategy, Scenarios and Analysis
Scenario Analysis
A structured method for exploring alternative future pathways based on different assumptions and policy choices.
Baseline Scenario
A projection assuming continuation of current trends and policies.
Stress Scenario
A scenario modelling adverse shocks or structural disruptions.
Opportunity Map
An analytical framework identifying sectors or interventions where value creation remains feasible.

Methodological Terms

Methodological Terms
Index
A composite indicator combining multiple variables into a single measure for comparative or analytical purposes.
Proxy Indicator
A variable used to approximate an unobservable or unavailable concept.
Data Gap
An area where no publicly available, reliable, or consistent data exist.
Institutional Source
Data published by recognised national or international organisations with formal statistical mandates.
Closing Note
This glossary marks the formal conclusion of the Mauritius Outlook 2024–2029. Together with the Data Sources and Index Notes, it anchors the report in clarity, precision, and methodological restraint.
In a landscape often dominated by assertion, this Outlook closes by reaffirming a simple principle: analysis is only as credible as the language and evidence that sustain it.
End of Section 48 — End of Report
Mauritius Real Outlook 2025–2029 • The Meridian