Economy
Mauritius has developed from a low income, agriculture-based economy to a middle income, diversified economy with growing industrial, financial and tourist sectors. For most of the period annual growth has been in the order of 5-6% and this has been reflected in increased life expectancy, lowered infant mortality, stable population growth and improved infrastructure.
The tourism and hospitality sector is a major industry in Mauritius and generates around 25% of the GDP. It contributes significantly to the economic growth of the economy and has been a key enabler in its overall development strategy. It is a diverse sector encompassing hotels, leisure parks, green and health tourism, restaurants, tour operators and the airline industry. Developing this sector as a robust and vibrant industry is a top priority of the Government and initiatives such as the Property Development Scheme and Hotel Investment Scheme have been introduced, making inward investment attractive to non-Mauritian citizens.
GDP is expected to rise to 6.1% with tourism picking up, investment in public infrastructure and resumption of export activities. Real GDP expanded by 4 percent in 2021 as many sectors recovered to pre-pandemic levels of economic activity. Staff projects real GDP growth of 6.1% in 2022 and 5.6% in 2023. The economic rebound is expected to be driven primarily by the tourism sector (IMF).
• 1st in Africa and 20th in World for ease of doing business (World Bank)
• 13th in World out of 190 countries for investor protection (World Bank)
• 2022 Index of Economic Freedom (The Heritage Foundation) 30th in the world out of 180 countries and 1st in Africa (World Bank)
• Financial services and off shore banking centre
• Investment protection and promotion agreements with 35 countries including India and China
• 5% growth for most of post-independence period
• GDP US$14.18 billion in 2018, $14.05 billion in 2019, US $11 billion in 2020, US $11.08 in 2021 and estimate of $14.30 billion in 2022 and 2023
• In 2020 the World Bank classified Mauritius as a high-income country based on 2019 data
• FDI 57% of GDP
• 9th in World for business friendly tax regime (PWC)
• China-Mauritius free trade agreement and preferential trade agreement with India
• Double Taxation Avoidance Agreements with 46 countries
• No inheritance tax
• No capital gains tax
• No tax on dividends
• 15% corporation tax
• 15% income tax
• No restriction on repatriation of capital
• No foreign exchange controls
