“Facilitating Growth, Employment & Prosperity in Africa!” This has the name of the new report produced by Capital Economics for the Economic Development Board of Mauritius. This major study was launched yesterday and sheds light on the millions of jobs and multibillion dollar GDP created for mainland Africa due to Mauritius’ role as a leading International Financial Centre.
The study argues that the Republic of Mauritius is poised to play a critical role in supporting Africa’s progress towards achieving the UN Sustainable Development Goals.
One of the key findings of the report shows that 4.2 million jobs in mainland Africa are supported by foreign investment mediated by Mauritius. These mainland jobs represent more than three times the Mauritian population and 0.6% of all employment in the continent with Kenya, Nigeria, Tanzania, South Africa and Côte d’Ivoire being the biggest beneficiaries.
The report also shows that Mauritius accounts for just 0.1% of Africa’s population whilst its economy contributes 0.6% to the continent’s GDP.
According to the report, 9% of all Foreign Direct Investment (FDI) into mainland Africa is mediated by Mauritius. This represents some USD $82bn which, in turn, generate around USD $6bn of tax revenues for African governments each year.
The Mauritian financial and professional services sector employed over 15,000 people and contributed over $1.5bn, or 12% of GDP to the Mauritian economy in 2019.
Launching the report, Dr Renganaden Padayachy, Minister of Finance, Economic Planning and Development, said that this “highlights the key role of Mauritius in enabling and facilitating growth, employment and prosperity across the African content” and “reaffirms our future orientation as a financial centre of choice and repute”.
His colleague, Mahen Kumar Seeruttun, Minister of Financial Services and Good Governance, said that “Mauritius is world-recognised as a hospitable, investor-friendly destination, a credible and secure financial centre of repute, synonymous to adherence with global standards on tax matters, regulatory practices and economic substance.”
