Mauritian Rupee Falls 1.3% against US Dollar amid Geopolitical Strain

The Mauritian rupee has depreciated by 1.3% against the US dollar in March, as escalating global uncertainties and Middle Eastern tensions begin to weigh on the local currency.

Data for the first quarter of the year (January to March) confirms an overall decline of 1.3%, with the exchange rate averaging Rs 47.10 last month.

This downturn follows a period of moderate fluctuation between September 2025 and February 2026, which saw a brief strengthening in October before a steady slide resumed.

Import Costs Fueling Pressure

According to a report released this month by CareEdge Ratings, the currency is expected to remain under downward pressure.

Analysts point to a surge in import costs driven by rising global prices for energy, freight, and insurance—consequences of the ongoing conflict in the Middle East.

These rising costs have significantly intensified the demand for foreign currency.

While the report notes that export revenues and service sector inflows provide some mitigation, they are not expected to be sufficient to offset the growing national import bill.

Key Market Indicators (March 2026)

Source: Defi Media