The Economic Development Board Mauritius (EDB)

The Stock Exchange of Mauritius (SEM) is widely recognized as one of the leading and most innovative exchanges in the region with a market capitalization of USD 11 billion, and boasting more than 200 listings, including 49 foreign securities.

The SEM is also the only Exchange in Africa, and one of the few Exchanges worldwide, to have set up a multi-currency listing and trading technology platform, which is also open for dual-currency trading and can list, trade and settle equity and debt products in USD, EUR, GBP, ZAR besides the local currency MUR. This allows investors to reduce currency conversion costs and to hedge against local currency risks.

Over the recent years, in addition to the setting up of a multi-currency platform, the SEM revised its listing framework to introduce new rules for listing on its multi-currency platform (USD/EUR/GBP/ZAR) of a variety of new asset-classes of securities, such as Global Funds, Depositary Receipts, Mineral Companies and Specialist securities (including Global Business Companies, Specialist Debt instruments, Exchange Traded Funds (ETFs), Exchange Traded Notes and Structured Products).

Banking

Rich in history and ancestral lineage, the Mauritius Banking Sector has been at the service of the economy since 1838. Mauritius prides itself as having the oldest banking institution of the south of the Sahara, and one of the oldest banks of the Commonwealth.

Today, the Mauritius IFC boasts a mature and well-regulated banking sector which is made up of 20 domestic and international banks. All the banks are licensed by the Bank of Mauritius to carry out banking business locally and internationally. Besides traditional retail banking facilities, the banking industry in Mauritius is characterized by offering specialized services such as fund administration, private banking, structured trade finance, Islamic banking, investment banking and custody services.

Mauritius is home to some of the biggest and most reputable international banks which actively carry out international cross border activities. In addition, banks in Mauritius are adequately capitalized with an aggregate capital adequacy ratio of 18.5% which is well above the regulatory minimum of 10%.

Insurance

Mauritius has a well-established insurance sector, which is regulated and supervised by the Financial Services Commission (FSC) under the Insurance Act 2005. The current regulatory framework is aligned with the International Association of Insurance Supervisors (IAIS) standards and principles and has many strong elements focusing on specific regulatory issues relating to capital adequacy, solvency, corporate governance, early warning systems and the protection of policyholders.

As of September 2019, the insurance sector accounts for a growth rate of 4.9% and currently contributes to 2.5% of the Mauritian economy. Insurance companies in Mauritius offer various services and products which include property and casualty insurance, motor insurance, financial risks, aviation insurance amongst others.

With more than two decades’ track record in cross border investment and finance, Mauritius offers an unparalleled well-regulated and transparent platform for the international community. Leveraging on its state-of-the-art infrastructure, modern and innovative legal framework and ease of doing business regime, the Mauritius IFC is home to a number of legal firms, corporate service providers, and related advisory companies and intermediaries, which offers a panoply of competitive financial products and services, including private banking, global business, insurance and reinsurance, limited companies, protected cell companies, trust and foundation, investment banking, global headquarter administration, amongst others.

The depth and maturity of the Mauritian financial services sector, coupled with its unique expertise stand the Mauritius IFC in good stead, as the key enabler to spearhead the convergence between technology and financial services. Cognizance of the burgeoning FinTech space, the Government of Mauritius, over the past couple of years, has been pioneering the development of the right engines to drive the country’s digital transformation and has paved the way for the introduction of FinTech activities in Mauritius. In addition to the strong government support, the FinTech industry is supported by the Mauritius Africa FinTech Hub, and the main objective of the association is to act as a think-tank and to advise on necessary regulatory and business climate amendments.

As an innovative IFC, Mauritius has become the beacon of growth for FinTech entrepreneurs. The jurisdiction has licensed a diverse portfolio of FinTech projects, including Initial Coins Offerings (ICOs), cryptocurrencies exchange platforms, digital wallets, crowdfunding platforms, and blockchain-enabled alternative securities platforms, blockchain-based KYC systems, and Robo-advisory wealth management platforms.