For instance, the relatively high degree of euro-centricity of the Mauritian economy makes it vulnerable to a protracted period of slower growth in Europe and to the vicissitudes of any shocks that are peculiar to Europe.
As a result, tourism and trade, as well as FDI, could all take a hit, should a shock materialise in Europe (e.g., fallouts of Brexit or European banking crisis). Similarly, geopolitical events affect international commodity prices and consequently influence domestic inflation and the exchange rate.