Investment climate of Mauritius

Mauritius is among the most competitive and successful economies in Africa and actively encourages foreign investment. The World Bank’s 2009 Doing Business report ranks Mauritius first in Africa (for the second year in a row) and 24th in the world for ease of doing business. The Government of Mauritius’ policy since 2005 has been to open the economy and streamline administrative procedures for people to come, work, and live in Mauritius. Investment in Mauritius is governed by the Investment Promotion Act of 2000 and the Business Facilitation Act of 2006. Investment regulations are consistent with the WTO's Agreement on Trade Related Investment Measures (TRIMS) and the Government of Mauritius does not discriminate between local and foreign investment.

Mauritius has built its success on a free market economy. According to the U.S.-based Heritage Foundation-Wall Street Journal annual survey of 157 countries worldwide, Mauritius leads Sub-Saharan Africa in economic freedom. Mauritius also has a long-standing tradition of government and private sector dialogue which allows the private sector to effectively voice its views on the development strategy of the country.

Mauritius offers a low tax jurisdiction and an investor friendly environment to encourage local and foreign companies to set up a business. The fiscal regime include the following:

• Harmonised corporate and income tax of 15%
• Tax free dividend
• 100% foreign ownership
• Exemption from customs duty on equipment
• Free repatriation of profits, dividends and capital
• No minimum foreign capital required
• 50% annual allowance on declining balance for the purchase of electronic and computer equipment

Mauritius has a long tradition of political and social stability and is internationally recognized for its well-established democracy. Government has already invested massively and has committed large sums of funds for the continuous upgrading of the overall infrastructure.The entire island is connected with electricity (stable power) and water supply. It has a well-developed digital network infrastructure and offers excellent telecommunication facilities namely ADSL, ISDN, high bandwidth international leased lines and high-speed Internet access. The airport and the harbor are equipped to meet the full needs of both passenger and cargo traffic. Mauritius has regular air and sea connections with the rest of the world with the major airlines and shipping companies servicing the island. A new airport terminal is currently being built and will be fully operational by the end of 2011.