The Star and Key of the Indian Ocean
Mauritius is a peaceful emerging economy blessed with a wonderful climate. It has good quality infrastructure and has modern information and telecommunications facilities. It has a low crime rate.
Mauritius is becoming a financial trade and global business destination of choice. Politically stable and well governed, this democracy won the first annual Ibrahim Index of African Governance. ”Doing Business 2013” ranked Mauritius as the number one African country in terms of ease of doing business and 20th world-wide. Mauritius has traditional close links with Europe and is becoming the gateway to India, Africa and Asia.
It has regular flights to major international destinations such as Paris, London, Dubai, Johannesburg, Cape Town, Perth and Sydney amongst others. Serviced by Air Mauritius, British Airways, Emirates, Air France, South African Airways and other major airlines, you are in daily contact with the rest of the world.
There is a strong drive by government to attract foreign investment into Mauritius. Some of the major benefits include:
– The favourable tax regime including low personal and corporate taxes, the absence of inheritance and capital gains taxes as well as double taxation agreements with 32 countries.
– A strong offshore banking and financial sector
– An emerging country with advanced IT and telecommunication links
– An ideal location in terms of time zones
Mauritius is an open economy ready to do business with the rest of the World. Growing at over 5% per annum, the economy produces many opportunities. Legislation promotes residency rights for investors (see www.gov.mu)
Foreigners are entitled to buy and own real estate in Mauritius in IRS approved developments. They can do so either in their personal capacity or through a Mauritian registered business or trust, subject to regulatory processes and approvals prior to registration of ownership.
Permanent residency permits are linked to the property ownership. The residency permit is extended to the owner’s spouse and dependants. The residency permit also entitles the resident to apply for an Occupation Certificate to work or start a business in Mauritius.
The country has European standard health and education facilities with a network of quality and safe private transport facilities for school children. International English and French satellite TV channels are well represented. International education facilities are also in place.
La Balise Marina is a low density, one of its kind, fully serviced Marina IRS development. The rain and wind sheltered west coast where it is located, adjacent to Black River village, benefits from the best climate of the island with the sunniest days and balmy temperatures year-round. The region has every facility on offer from hotels to golf courses, restaurants and shopping.
Why invest in Mauritius?
Over the years Mauritius has built a strong reputation as a safe, reliable and secure jurisdiction with best practices in terms of transparency, good governance and ethics. It is rated among the first in Africa for its ease of doing business, economic freedom and good governance. Among other sectors, the Financial Services is increasingly being viewed as one of the major contributors to the Mauritian economy and to sustain its development as an International Financial Centre of Substance, Mauritius is continuously enhancing its range of financial products and moving towards the provision of higher end and value added services.
The fact that Mauritius has a strong track record as far as global investment is concerned where its financial platform is increasingly being used for investment in emerging countries is due to the conducive business environment in Mauritius. Continued efforts are being put to position Mauritius as a jurisdiction of choice for investment and conducting business.
Major attractiveness of Mauritius for offshore investment:
- Attractive fiscal regime
- Tax free dividend
- No capital gains tax
- Free repatriation of profits, dividends and capital
- 100% foreign ownership
- Global Business Companies Category 2 are tax-exempt
- Global Business Companies Category 1 has maximum effective tax rate of 3%
- Vast network of Double Taxation Treaties
- Enhanced Privacy
- Offshore Asset Protection
- Ease of set up / operation
- OECD White Listed Jurisdiction
- Bilingual workforce with high level of expertise
- Reliable banking & telecommunications system
- Appropriate legal & regulatory framework
- Social & Political stability
- Convenient Time Zone
Stable and progressive economy
Mauritius (pop. 1.3 million) is a small island nation in the Indian Ocean, east of Madagascar and mainland Africa. It has one of the strongest economies and one of the most stable democracies in Africa, and one of the highest standards of living in Africa, with a GDP per capita of US$9,715 in 2014, according to the International Monetary Fund (IMF).
The economy is estimated to have expanded by 3.5% in 2014, after real GDP growth rates of 3.2% in 2013, 3.4% in 2012, 3.6% in 2011 and 4.2% in 2010, according to the Bank of Mauritius.
In 2014, unemployment stood at 7.8%, slightly down from 8% in the past two years.
The budget deficit stood at 3.2% of GDP in 2014, from 3.5% in 2013, 1.8% in 2012 and 3.2% in 2011, according to the Bank of Mauritius. Inflation was 4% last year, from 3.6% in 2013, 5.1% in 2011-12, and 1.7% in 2010, according to the Bank of Mauritius.
Tourism continues to grow. Tourist arrivals rose by 5.1% y-o-y to 826,950 people during the first ten months of 2014, while tourist revenues rose by 11.5% to MUR35.94 billion (US$1.11 billion), based on figures from the Ministry of Tourism and Leisure.
Low interest rates
The key repo rate was kept unchanged at 4.65% in October 2014, according to the Bank of Mauritius. The interest rates for housing loans also remained unchanged at a range of 2% to 12%.
Most banks offer mortgages to foreign homebuyers at an interest rate of 5%.