Towards Direct Aid for Incomes Between Rs 17,000 and Rs 20,000

In response to rising prices, the government is accelerating the overhaul of its social assistance system. The Minister of Social Security, Ashok Subron, outlines the key details of a major reform aimed at better protecting not only the poorest but also struggling middle-income households.

The ministry is now proposing a system with two or even three levels of support. On one hand, individuals registered on the Social Registry of Mauritius (SRM) will continue to receive assistance reserved for absolute poverty. On the other hand, a new category of "dedicated support" will be established, which will include items such as school supplies or housing renovations, supported by the National Empowerment Foundation.

The goal is to increase the number of beneficiaries by revising the eligibility threshold. Beneficiaries of the "dedicated support" should fall within the income range of Rs 17,000 to Rs 20,000 per month, although these figures are not yet finalized. Additionally, the assistance program from the Social Register may be expanded to include support for purchasing bread, paying water bills, wastewater fees, or household gas.

A meeting is scheduled for this Monday for this purpose. The Council of Ministers has already approved discussions with the Ministry of Finance.

At the same time, the government is finalizing the introduction of a Multidimensional Poverty Index. Within the ministry, Minister Subron and Junior Minister Kugan Parapen have been working for over six months on this new measure of poverty, in collaboration with Statistics Mauritius and the University of Oxford.

According to the minister, the current poverty threshold is based solely on monetary criteria, which no longer reflect today's realities. "If a person has no home, it is a deprivation," he illustrates. Basic needs, education levels, and other forms of deprivation will now be taken into account.

"We are moving towards a revision of these figures because a monetary quantification basis is unacceptable," asserts Ashok Subron. Currently, an adult is considered poor if he earns less than Rs 3,575. For a family of two adults and two children, the threshold is set at Rs 14,650.

The minister clarifies that this work had begun well before the recent price increases, starting with the presentation of the 2025 Budget. Statistical data is already available, and once the index is official, Statistics Mauritius will be able to establish new poverty measures that incorporate both monetary and non-monetary dimensions. The process is currently in the finalization phase. "Soon, Statistics Mauritius will introduce this index," says Ashok Subron.

Regarding a potential revision of the minimum wage, the minister states that no decision is planned at this stage, emphasizing that it is a governmental prerogative. In light of the current situation, the minister stresses the need for a solidarity approach: "The government has created the Crisis Solidarity Fund in which we ask those who can contribute to ensure increased support for the most vulnerable."