Mauritius Social Housing Costs Soar to Rs 30bn for 8,000 Homes

A government-commissioned audit has exposed serious cost overruns, delays, and governance failures in Mauritius's flagship social housing programme, raising urgent questions about value for money in one of the country's most ambitious public infrastructure projects. **The numbers tell a stark story** The social housing programme run by the New Social Living Development Ltd (NSLD) — a state-owned company created in 2019 under the Ministry of Housing and Land — was originally budgeted at Rs 12 billion to deliver 12,000 homes. According to a progress report published by the ministry, the programme is now expected to cost nearly Rs 30 billion, while delivering only around 8,000 units. That means the cost per home has more than doubled, while the number of homes to be built has dropped by a third. **Where things stand right now** As of 30 September 2026, only 2,922 homes — spread across 14 projects — had been fully completed, including surrounding infrastructure. A further 2,332 units have been physically built but cannot yet be handed to beneficiaries, as they still lack essential connections to water and sewage networks, as well as pumping stations and boreholes. These residents are now being told to wait until 2027. The situation is particularly acute on 11 sites, covering 2,816 homes, which are still waiting for water supply infrastructure to be installed by the Central Water Authority (CWA), the state body responsible for water distribution in Mauritius. **Audit flags governance failures** The figures come alongside findings from an independent audit by the Office of Public Sector Governance (OPSG), which examined the NSLD's operations since its creation. The report identifies significant weaknesses in procurement processes and internal controls. Perhaps the most striking finding: eight consultant contracts worth a combined Rs 919 million were terminated after Rs 496 million had already been spent — including Rs 85.6 million paid out as compensation. Not a single home was built under any of these contracts. **What this means** For the thousands of Mauritian families on social housing waiting lists, these findings mean continued uncertainty. Homes that appeared finished are sitting empty while basic infrastructure — water pipes, sewage connections — remains incomplete. The 2027 handover target for 2,332 units depends on the CWA and other agencies moving quickly, which has not been the pattern so far. For taxpayers, the picture is equally troubling. A programme that was sold as a Rs 12 billion solution to the country's housing shortage is now expected to cost Rs 30 billion — and deliver fewer homes. Nearly half a billion rupees was spent on consultants whose contracts were later cancelled, with no houses to show for it. The audit by the OPSG, an independent oversight body attached to the Ministry of Finance, suggests that stronger controls and accountability mechanisms are needed if the programme is to deliver on its remaining commitments. Source: ION News