Republic of Mauritius- Budget 2020-2021 addresses the needs of the most vulnerable in a sustainable way, says Minister Jeewa-Daureeawoo

Commenting on measures that concern the sector of Social Security and National Solidarity, Minister Jeewa-Daureeawoo, emphasised that the aim is to move towards a more progressive contribution system.  There will be no targeting in terms of universal retirement pension and this means that all those who turn 60 will continue to benefit from their universal retirement pension of MUR 9000, she highlighted.

As regards the National Pensions Fund (NPF) and its assets, the Minister indicated that it is being replaced by the Contribution Sociale Generalisée which will be effective as from 1^st September 2020. 

Employees earning up to MUR 50,000 will therefore contribute 1.5% and their employers will contribute 3% on their monthly salary. As for employees earning more than MUR 50,000, the contribution will be 3% and that of their employers 6%.  However, contributions will therefore no longer be capped against a ceiling of MUR 18,740 as is currently the case under the National Pensions Act.  The Minister also reassured that the Fund will continue to exist and all those who have contributed so far will be paid their dues as and when they retire.

Speaking about medical home visits, Mrs Jeewa-Daureeawoo, recalled that initially this monthly service was offered only to children with disabilities below the age of 18 and to bedridden persons aged 75 and above.  Under the present Budget, visits will target bedridden persons aged between 18 and 60 years. An amount of around MUR 150 M has been earmarked for the implementation of this measure.

In addition, she observed that an amount of MUR 34 M as compared to MUR 10 M for the last financial year, has been allocated for the purchase of anti-influenza vaccines for the elderly and for children in special needs schools.

On the issue of poverty alleviation, the Minister said that Government is determined to reduce poverty and this is why the Marshall Plan against Poverty was initiated in 2016 and families living below the poverty threshold were then registered on the Social Register of Mauritius (SRM).  As at now, around 8,000 eligible families in Mauritius and 2,000 families in Rodrigues are on the SRM.

For the Minister it is necessary to acknowledge that there are other vulnerable families living in relative poverty who require support. Thus, it is important to identify those families living in relative poverty, and the present Budget 2020/2021 makes provision for the creation of a national database of vulnerable families.  Once the registration of these families is complete, Government will devise an action plan on how to assist these families in improving their living conditions, she pointed out. 

Referring to the role of NGOs, the Minister highlighted that they are complementary partners for Government in addressing social issues. Budget 2020-2021 makes provision for an amount of MUR 700 million to be allocated to the National Social Inclusion Foundation for further assistance to NGOs.

With regards to supporting children from vulnerable families in the wake of the Covid-19 pandemic during which period schools have had to be temporarily closed, the Minister highlighted that government has given due regard to the educational needs of these children.  Budget 2020-2021 therefore makes provision for tablets for around 2,570 students of Grade 10 to Grade 13 who are eligible under the SRM.

In addition, the Minister observed that as at March 2020, free access to Broadband internet has been provided to around 4900 SRM families.  The present budget makes provision for free broadband internet access to be provided to an additional 5,000 families on the SRM. This is a huge step in bridging the digital divide and is being implemented jointly by Government and Mauritius Telecom, she added.