• Mauritius central bank governor Rama Sithanen to resign after PM request
• Resignation follows deputy’s exit, allegations of family interference
• Rupee up 6% in 2025, inflation contained at 3.3%

The governor of the Bank of Mauritius, Rama Sithanen, announced on Saturday, Sept. 20, that he will resign in the coming days after Prime Minister Navin Ramgoolam asked him to step down amid internal turmoil at the central bank.

"In the best interest of the country, and for the stability and serenity of the institution, it is the right thing for me to step down. I have agreed to resign, and I will do so next week," Sithanen said in a televised address.

The bank has been rocked by an internal conflict for several weeks. Gérard Sanspeur, the second deputy governor, resigned in late August, accusing Sithanen's son of interfering in the bank's daily operations, including banking licenses and recruitment procedures. Sithanen has vehemently denied the accusations, stating that no decisions were influenced by any exchanges between his son and the resigning deputy governor.

On Saturday, Ramgoolam praised the economist's skills but said his position had become "untenable." He said for the Bank of Mauritius to regain its serenity, he asked the governor to resign,  adding that a new second deputy governor would be appointed on Monday, followed by the designation of Sithanen's successor.

Despite the controversy, the prime minister acknowledged the results achieved under Sithanen's leadership. The Mauritian rupee has appreciated by 6% against the dollar since the beginning of the year, and inflation was contained at 3.3% at the end of August.

The governor's resignation opens a period of uncertainty for the institution responsible for monetary stability, as Mauritius seeks to consolidate its economic recovery in an international context marked by volatile markets.

Fiacre E. Kakpo