Festivities and False Good Deals: Rising Expenses Revive the Risk of Scams

As the end of year festivities approach, commercial activity is picking up in Mauritius. With an occasional improvement in purchasing power due to year-end bonuses and a surge in offers presented as advantageous, consumers find themselves in an environment conducive to spending. This trend aligns with a pattern already seen in the local market, where expenditures consistently peak in the last quarter.

Recent figures illustrate this seasonality. In the fourth quarter of 2024, final consumption expenditure—covering households and public administrations—amounted to Rs 171 billion, representing 87% of quarterly GDP according to Statistics Mauritius. Households accounted for 73% of this total, with Rs 144 billion. An analysis of annual data shows that the last quarter represents 30% of annual household spending, a significantly higher proportion compared to previous quarters, which ranged between 22% and 26%. Year-on-year, final consumption expenditure rose by 4%, while household spending increased by 2.8%.

These figures reflect a reality in Mauritius: the end of the year brings a surge in commercial activity, a phenomenon repeatedly highlighted by authorities. In its 2025-26 budget, the Mauritian government expressed its intention to transition the country from a consumption-driven economy to one more focused on investment. However, the festive season underscores the importance of consumption as a significant driver of local economic behavior.

More Active Sellers and More Affluent Consumers

The month of December creates a unique confluence. Retailers aim to boost their sales while households have a larger budget. The year-end bonus, often allocated for substantial purchases, directly influences the volume of transactions. As economist Manisha Dookhony explains, year-end salary increases can encourage expenditures that will become visible weeks later. For instance, she cites the impact of the 14th month salary paid in 2025, which contributed to significant air conditioning sales in January 2026, during a period of intense heat.

For this year, the absence of this extra income might slightly temper spending, even though the festive season remains a time for increased purchases. However, according to the economist, this could also limit price pressures. "Without the 14th month this year, it’s possible that there will be less spending in December, which will not exacerbate inflation," she notes.

She also observes that year-end spending now begins earlier. The phenomenon of Black Friday, which has become more prominent over the past five years, acts as a trigger. Many households anticipate their purchases as early as November, contributing to a longer period of commercial activity.

Rise of Scams: The Other Reality of the Festivities

This surge in consumption also attracts dubious practices. Claude Canabady, secretary of the Consumers’ Eye Association, warns of an increase in scams related to the festive period. "Consumers must be cautious of offers that seem too good to be true," he insists. An abnormally low price or conditions presented as exceptional may conceal malicious intentions.

Social media amplifies the phenomenon. Personalized messages, manipulated audio, or AI-generated content contribute to misleading solicitations. The lure of profit affects both retailers looking to draw in customers and scammers capitalizing on the information overload of the season. Purchases made during night street sales are particularly vulnerable, lacking guarantees, with ephemeral vendors and products differing from those demonstrated.

"We constantly encounter scam cases. People buy a product, and once at home, it doesn’t work. The next day, it’s impossible to find the seller," recounts Claude Canabady. Many consumers find themselves without recourse, lacking a warranty or proof of purchase.

Towards More Cautious and Better-Planned Consumption

To avoid these pitfalls, experts advocate for more rigorous organization. Manisha Dookhony reminds that households would benefit from planning their expenditures, especially during a period where significant purchases focus on appliances, real estate, or construction projects. She notes that real estate investments should rebound, while vehicle purchases are declining after a peak observed just after the last budget.

The economist also believes that Mauritian society remains heavily consumption-focused. The festive tradition, which blends cultural aspects with family moments, encourages spending on gifts and leisure. However, she emphasizes the need to promote saving more, particularly by valuing mechanisms that allow setting aside year-end bonuses. "We focus a lot on consumption. New ways to encourage saving should be developed," she states.

Claude Canabady shares this view and stresses the importance of a precise budget. He believes consumers should avoid carrying too much cash or multiple credit cards to limit impulsive purchases. He recommends preparing a list of expenditures before leaving home. He also highlights that lights, decorations, and commercial displays attract children, often leading to unplanned purchases.

"We must raise awareness and educate consumers about the dangers of scams," he reminds. A warranty, receipt, or any proof of purchase remains essential.