France Poured €79.7 Million into Mauritius & Regional Development in 2025

The French Development Agency (AFD) has injected a total of €79.7 million into Mauritius and the surrounding region during 2025, marking a significant escalation in French financial support for the island’s critical infrastructure and green transition.

The annual results, released following a landmark visit by French President Emmanuel Macron in November, reveal a year of “intensity” and “strategic growth.”

The funding was distributed across 86 separate operations, with a primary focus on water security, renewable energy, and sustainable finance.

Water and Energy Take Centre Stage

Water infrastructure emerged as the largest beneficiary of French investment, receiving €43 million this year.

These funds supported the development of a new national water policy and integrated resource management.

Looking ahead to 2026, the AFD has already begun feasibility studies for a massive structural investment programme in water infrastructure, bolstered by European Union grants.

This was formalised during President Macron’s visit via a five-year declaration of intent to secure the island’s water future.

In the energy sector, 2025 saw a “dynamic resumption” of ties with the Central Electricity Board (CEB). Key developments include:

• A €700,000 technical exchange to modernise the grid for renewable energy.
• A €600,000 facility dedicated to the digitalisation of the CEB.
• Ongoing support for Rodrigues’ transition toward a 100% green energy model.

A Revolution in Green Finance

The AFD Group, alongside Proparco and Expertise France, has pivoted heavily toward sustainable banking. Major credit lines were established to foster “green investment pipelines,” including:

• €83.5 million combined for MauBank and State Bank of Mauritius (SBM).
• $75 million agreement between Proparco and South African bank ABSA.

“This year has been particularly intense,” said Laetitia Habchi, AFD Director for Mauritius and the Seychelles. “The results achieved give me great confidence for the future.”

Regional Impact and 2026 Outlook

Beyond the main island, the AFD intensified operations in Rodrigues, launching groundwater research in partnership with the BRGM.

Regionally, eight projects were managed alongside the Indian Ocean Commission, spanning public health, climate resilience, and democratic governance.

The agency confirmed that 2026 will see the launch of new programmes targeting coastal risk management and the “circular economy” for waste management, in collaboration with the European Union and the European Investment Bank.

Source: l’Express