Mauritius is an economic success story. Its economy has sustained high 6 per cent annual growth for two decades first driven by sugar, then textiles and clothing, and tourism, and most recently by financial services. Economic growth and structural change were achieved while maintaining national stability and social cohesion. A generation of Mauritians has enjoyed a rise in living standards that few countries can match, reaching an income per capita of $4,000 today. Once only another commodity producer, today the country is the leading exporter of manufactures in sub-Saharan Africa. The main theme of the report is that Mauritius must shift more forcefully into higher value sectors, including financial services, business services and information technology to sustain high growth. Wealth in these sectors is derived from knowledge networks and a sophisticated support infrastructure that demands substantial capital and expertise. FDI can help Mauritius establish the attributes needed to compete globally in these high value service sectors. Nevertheless, to attract FDI of this kind will require a focused promotional strategy and a substantial overhaul of the policy and operational framework for FDI in line with world-wide best practice standards. Chapter I summarises FDI trends. Chapter II reviews the investment policy framework, outlining reforms that can lead to a more attractive FDI environment. Chapter III provides a strategic perspective on how Mauritius can re-position itself to compete in international markets and make the upward structural shift using FDI. Chapter IV examines FDI potential in regional financial services, information technology and the marine sector. Conclusions and recommendations include the following: Overhauling policy and operational framework for FDI in line with "best practice" standards. Shifting more forcefully into higher value sectors. Improving infrastructure services. Fostering the development of regional financial services sector. Emphasising information technology. Upgrading the Marine resources sector
SUBJECT
Investments
foreign -- Mauritius
Finance -- Mauritius
Mauritius -- Economic policy
LOCATION
CALL#
STATUS
International Institute for Trade and Developement : UNCTAD Collection
