Clean energy push could unlock 32,000 jobs in Mauritius by 2030

On an island long defined by its beaches and blue waters, a quieter shift is taking shape. In Mauritius, where tourism has helped build one of Africa’s most stable economies, the next phase of growth may come from how the country responds to climate pressure rather than how it markets its coastline.

A new assessment by the World Bank points to a clear opening. In its “Mauritius Country Climate and Development Report (CCDR),” the institution says targeted investment in renewable energy and the sustainable use of ocean resources could generate as many as 32,000 jobs by 2030. The message is direct: the same forces threatening the island’s future could also support new industries if handled with urgency and discipline.

Mauritius growth model tested by climate risks

For decades, Mauritius has built a reputation as one of the region’s most consistent economic performers. It moved from a low-income sugar-based economy into an upper-middle-income country with a broader base that includes tourism, financial services and light manufacturing. That progress, however, now faces limits. The state-led model that supported earlier gains is showing signs of strain, while climate risks are becoming harder to ignore.

Those risks are not abstract. As an island nation, Mauritius faces rising sea levels, stronger heatwaves, flash floods and cyclones. These pressures cut across the economy, threatening tourism flows, fisheries and infrastructure, while placing nearly a third of the population living along coastal areas at greater risk. Despite contributing just 0.01 percent to global emissions, the country carries a disproportionate burden when it comes to adaptation costs.

Climate risks strain water, tourism growth

The CCDR frames climate change as a cross-cutting challenge that touches nearly every sector. It disrupts agriculture, strains water supply and puts biodiversity under pressure. Water scarcity has emerged as a central concern, with households, farms and hotels competing for limited resources. Without adjustment, these stresses could weigh on growth and public finances over time.

Yet the report also draws a link between climate action and economic opportunity. Investments in low-carbon energy, coastal protection and better resource management are not only defensive measures; they can support job creation, strengthen energy security and widen the country’s growth base. In practical terms, that includes scaling renewable energy through updated electricity plans and tariff reforms, while also building out the “blue economy” with stronger marine planning and legal frameworks to support sustainable fishing and conservation.

Tourism, a pillar of the economy, is also part of the reset. The report points to the need to diversify offerings beyond coastal areas and tighten climate-resilient licensing standards, a shift aimed at protecting both the environment and long-term visitor demand. Inland development and more balanced use of land could ease pressure on vulnerable coastal zones while opening space for new types of investment.

Mauritius’ climate shift requires $5.6 billion

Delivering on these changes will require huge capital. The World Bank estimates that Mauritius needs $5.6 billion in additional investment over the next 25 years, calculated in net present value terms. That leaves an annual financing gap of about $213 million. Public finances alone will not be enough, placing emphasis on the government’s role in drawing in private capital.

Banks, insurers and pension funds are expected to play a larger role, alongside mechanisms such as payments for ecosystem services. For that to work, the report stresses the need for clear policy direction, credible climate finance frameworks and steps to reduce investment risk. Strengthening fiscal buffers, improving coordination across institutions and closing gaps in green skills are also part of the foundation.

What emerges is less a single policy shift than a broad recalibration. Climate governance, sector reforms and infrastructure investment are closely tied, and progress in one area depends on movement in others. The CCDR outlines a set of high-impact recommendations, from water sector reforms to coastal protection and transport upgrades, all aimed at reducing exposure while supporting growth.