So for a non mechanical person, from what I understand, my issue is a blocked silencer (the round thing at the end of the exhaust pipe next to the back wheel). So if I cut that off and replace it with a after market silencer it should fix my problem?
Also, I am assuming the sensor on the Like 200i is located closer to the engine, so by cutting the silencer off towards the rear of the scooter I should not have to replace it if I only replace the silencer.
Does anyone know of a reliable supplier of a silencer for a kymco like 200i that ships to Australia and am I right in thinking above?
Thank you in advance for all you mechanical mind people 
I assume the original exhaust is not in you position therefore you are not able to find a sensor.
Regarding your first question - if you can’t find a sensor anywhere on the current exhaust (the one the mechanic gave you to use in the meanwhile) , between the front bracket which bolts to the cylinder head backwards to the “round thing”, as well as on the “round thing” itself, chances are very good that you will not experience problems if you just cut the pipe and install another silencer.
To my mind this means your scooter did not come with a sensor in the exhaust system which could have any effect on the ECU by any means.
Having said that - I think it is important to make sure whether you are able to find a sensor on the complete exhaust unit or not.
My reasoning for this, on my wife’s car the sensor is located on top of the cat box itself - if your mechanic was correct about a cat at the inside of the silencer (round thing) at the back, there is a possibility that the sensor will be mounted to the “round thing” itself. In such case cutting off the pipe and installing an aftermarket exhaust might cause problems.
Having said all this - I will be very surprised if a small scooter like yours came with a catalytic converter. It most probably came with an EGR system, which means the exhaust should not have any sensors anywhere.
Maybe you should visit the mechanic again, and ask him to show you where the sensor at the exhaust is located. I could be wrong, but I have a strong feeling he is not going to find a sensor anywhere.
In short , if you cant find a sensor anywhere - I would just cut the pipe and install an exhaust that fits.