I doubt this will happen, but they should just reassign it to the Mauritius authority. The citizens of the islands could then potentially see some benefit from it, not Google or ICANN or whoever selflessly offers to take it over.
Normally that would have been the preferred solution, but since IANA has experienced all kinds of shenanigans on similar occasions they have decided to not allow ccTLD's to survive their former country anymore.
Yep. And for very good reasons, as explained in the article. But knowing that domains can be a significant source of income for a small nation, it does seem a shame to both waste that resource and break tons of sites in the process. I wish there were better ways to do this that didn't mean shutting it down or even selling it off to the highest bidder (who already has enough money).