If the global recovery for the second quarter is much stronger than the first quarter, there is a risk that food and commodity prices start going up again – we must be prepared for a further increase in food and commodity prices.
A positive note was that, when the FAO index rose, there was no corresponding increase in the prices of the foodstuffs that Mauritians tend to consume, namely, dairy products, cereals and rice. But if there is recovery, there is a risk that food and commodity prices and oil prices might go up again – which will represent a new source of inflation for us.