The World Bank’s Doing Business report ranks Mauritius as the leading country in Sub-Saharan Africa with the best business environment. The World Bank reviews the regulations and conditions for business. Mauritius is ranked 25th in the world. According to the report, more than 80 reforms have been implemented in sub-Saharan Africa aiming to encourage investment and improve the business environment. Kenya has implemented six reforms followed by four other countries including Mauritania, Nigeria, Rwanda and Senegal. Sub-Saharan Africa is the only region in the world that has recorded several changes in a single year. In preparing its report, the World Bank focused on 11 main areas including the facilities available to start a business, the fluidity of the administrative procedures such as permits, access to electricity, real estate registration, credit facilities and tax benefits.
A real paradise for business
Since its independence in 1968, Mauritius has been described as a benchmark for political and economic stability. The country has introduced several legal frameworks to facilitate investment. Investors can thus benefit from a serene environment and favourable business plans. Mauritius ranks among the most socially stable African countries. In addition, the country is bilingual (English / French) and has qualified human resources.
The Mauritian government has also set up regulatory institutions such as the Board of Investment (BoI) and the Financial Services Commission (FSC), among others. In recent decades, Mauritius has introduced several measures to attract foreign investors. For example, investment schemes have been put in place in the real estate sector including the Real Estate Scheme (RES) or the Property Development Scheme (PDS).
Mauritius is also known in the sub-Saharan Africa region for its tax benefits. The corporate tax is 15% unlike other countries. Also note that the income tax and the value-added tax (VAT) are also at 15%. In addition, companies must contribute 2% of profits to the CSR (Corporate Social Responsibility) fund. Namely that there are no taxes on estates and dividends. Investors can repatriate their profits, capital or dividends freely. Foreign investors can acquire properties only under the RES scheme while enjoying several benefits.