Page 9 - June 2017

cent and 2.19 per cent, respectively. Four-Year Bank of Mauritius Notes were also issued for a
nominal amount of Rs2,000 million. The auction was oversubscribed with bids received amounting
to Rs5,150 million and a bid-cover ratio of 2.6. The weighted yield went down to 3.32 per cent,
from 3.51 per cent registered at the auction held in February 2017. The Bank conducted mandatory
sterilization of foreign exchange intervention proceeds for an amount of Rs700.5 million for a
period of one year at a deposit rate of 2.18 per cent.

Based on the weighted average dealt selling rate1, the rupee, on average, appreciated against
the US dollar and the Pound sterling but depreciated against the euro in June 2017. The
average rupee exchange rates were Rs34.800/USD, Rs39.141/EUR and Rs44.829/GBP in June 2017
compared to Rs34.890/USD, Rs38.687/EUR and Rs45.435/GBP in May 2017.

Preliminary estimates of Mauritius’ balance of payments point to a current account deficit
of nearly Rs5.0 billion in 2017Q1, or about 4.6 per cent of GDP. The higher current account
deficit relative to 2016Q1 reflected essentially a wider deficit on the goods account and the lower
surplus on the services account, partly offset by a higher surplus on the income account. The deficit
on the goods account widened to Rs19.5 billion in 2017Q1, from to Rs14.4 billion in 2016Q1. The
services account posted a surplus of Rs7.2 billion, with gross tourism earnings increasing by Rs1.1
billion compared to 2016Q1.

The capital and financial account, inclusive of reserve assets, is estimated to have recorded
net inflows of Rs3.0 billion in 2017Q1. Excluding cross-border transactions of GBCs, non-
residents’ direct investment in Mauritius, net of repatriation, amounted to Rs1.8 billion in 2017Q1
compared to Rs4.7 billion registered in 2016Q1. Excluding the transactions of GBCs, the portfolio
investment account registered net outflows of Rs4.6 billion in 2017Q1, mainly explained by higher
portfolio investments abroad by residents. The country recorded a balance of payments deficit of
Rs0.8 billion in 2017Q1. It may be noted that during 2017Q1, government made an earlier
repayment of an external loan obligation amounting to US$120 million.

The Gross Official International Reserves (GOIR) of the country, which comprise the gross
foreign assets of the Bank of Mauritius, reserve position in the IMF and foreign assets of

1 The rates are calculated on the basis of transactions of US$20,000 and above, or the equivalent in other foreign
currencies, conducted by banks and foreign exchange dealers and as reported to the Bank.

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