Khushal Lobine Proposes a ‘Sovereign Solidarity and Resilience Fund’ in Response to the Crisis

Deputy Khushal Lobine has proposed the establishment of a ‘Sovereign Solidarity and Resilience Fund,’ a temporary fund inspired by the measures implemented during the COVID-19 pandemic, aimed at protecting vulnerable Mauritian households from price shocks due to the war.

This fund would be financed by a mandatory contribution of 15% from the salaries of elected officials and senior executives, along with voluntary contributions from individuals earning at least 150,000 rupees per month. Profitable large businesses could also be called upon to contribute.

In his Position Paper, Khushal Lobine further suggests that members of the National Assembly align their retirement conditions with the new, higher pension age applicable to the entire population.

The goal is to support vulnerable households, small and medium-sized enterprises (SMEs), and finance energy efficiency measures. The Deputy urges "everyone" to take responsibility in facing the crisis.

The Fund aims to provide short-term financial support to the households most affected by rising fuel, electricity, and food prices.

It could include:

▪ One-time financial assistance to individuals and households affected by the rising cost of living, based on defined eligibility criteria.

▪ Limited-time assistance to mitigate the increase in essential expenses, including electricity, fuel, and basic goods, with special attention to households registered in the social registry and vulnerable families with low to medium incomes.

▪ Temporary support for a basket of essential goods during peak price increases, similar to the COVID-19 Solidarity Fund.

While acknowledging the good intentions of Deputy Khushal Lobine, unionist Haniff Peerun believes that a solidarity fund is not the ideal solution to support the most vulnerable.

The president of the Mauritius Labour Congress, speaking on RadioPlus this Wednesday, April 22, denounces a lack of transparency surrounding several funds established in the past.

According to him, it would be more appropriate to address the shortcomings highlighted by the audit office to better replenish state coffers and free up the necessary resources to assist the population.