Meet29 January 2019

Press

Review of 2018 & Roadmap 2019

Insights from EDB domain-experts on key sectors

Speakers :

Introduction by François Guibert

Trend Analytics by Sachin Mohabeer & Faraz Rojid

Prospects by François Guibert

AGENDA1

2

3

4

5

6

2018 Highlights

Key figures and trend analytics

2019 Objectives

Strategy & Tactics

EDB Today

Q & A

EDB Today

“ One Strong

Team Under

One Roof ”

100

Projects

Implemented

42

Manufacturing

Projects at

Riche Terre

Business and

Industrial Park

4

Strategic

Development

areas:

1. Riche Terre

2. Rose Belle

3. Cote d’Or

4. Palmar

20th

World Bank

Doing

Business

2019 (25th in 2018)

14.9 (est.)

Rs Billion

Foreign

Direct

Investment

(FDI)

inflows

2018 Highlights

196Rs Billion

Total

Export of

goods and

services

2018 Sachin Mohabeer

ACHIEVEMENTS & RESULTS

Understanding Foreign Direct Investment (FDI)

Re-invested Earnings

Machinery and

Equipment

DirectInvestment

Mergers & Acquisitions

Errors & Omissions

01

02

0304

05

FDIRs 10.9 bn

Rs 4.0 bn

Rs 14.9 bn(2018)

FALS – Foreign Assets and Liabilities Survey

FALS – Foreign Assets and Liabilities Survey

Understanding Foreign Direct Investment (FDI)

Re-invested Earnings

Machinery and

Equipment

DirectInvestment

Mergers & Acquisitions

Errors & Omissions

01

02

0304

05

FDIRs 10.9 bn

Rs 4.0 bn

Rs 4.0 bn

Rs 1.0 bn

Rs 19.9 bn(2018)

FDI inclusive of

Re-invested earnings12,894 20,373 13,766 18,497 13,726 18,161 20,991 19,900

2011 2012 2013 2014 2015 2016 2017* 2018*

Rs 16.4 billion Rs 18.2 billion

FDI Inflows

12,894 20,373 13,766 18,497 13,726 18,161 20,991 19,900

3,438 7,704 4,254 4,346 4,049 4,513 3,500 5,000Re-invested earnings 3,438 7,704 4,254 4,346 4,049 4,513 3,500 5,000

Rs million

* estimates

FDI excluding

Re-invested earnings9,456 12,669 9,512 14,151 9,677 13,648 17,491 14,900

Rs 11.4 billion Rs 13.9 billion

9,456 12,669 9,512 14,151 9,677 13,648 17,491 14,900

Exceptional Items

Tourism – sale of hotels

Financial Services –M&A and bank capitalisation

5,986

5,512 2,269 6,586 4,019

9,456 7,157 9,512 8,165 9,677 11,379 10,905 10,981FDI excluding Re-

invested earnings &

Exceptional itemsRs 8.6 billion Rs 10.7 billion

9,456 8,165 9,677 10,9057,157 9,512 11,379 10,981

Average

Average

Average

Agro-industry, 1.0%

Manufacturing, 5.4%

Energy, 1.7%

Infrastructure, 7.0%

Wholesale and retail trade, 3.4%

Logistics, 0.5%

Information and communication,

1.6%Financial and insurance activities ,

19.2%

Hospitality, 10.6%

Real estate activities, 47.0%

Education & Arts, 0.3%

Healthcare, 1.4%

Other service activities, 0.8%

FDIBy Sectors

2011-2018*

3%

20%

56%

19%

2%

FDI Sources 2011-2018

64.3 billion13.3 % of GDP

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000

2007 2008 2009 2010 2011 2012 2 0 1 3 2014 2015 2016 2017 2018

Real Growth

over 2017

(Rs 60.6 bn)

Share in

Total

Investment

Private Sector Investment (Incl. FDI)

+ 3.1 % 74 %

2018

Private sector investment

Total Investment

73,5

86

79,6

58

88,0

48

94,7

76

93,2

90

84,4

56

81,3

17

82,0

00

8,2

26

8,1

35

9,4

80

7,7

17

7,6

56

8,2

53

8,5

38

4,5

00

65,3

60

71,5

23

78

,56

8

87,0

59

85,6

34

76,2

03

72,7

79

77,5

00

98,9

78

108

,03

0

92,2

57

105

,42

2

102

,89

4

107

,92

9

113

,40

9

114

,07

7

172

,56

4

187,6

88

180

,30

5 200

,19

8

196

,18

4

192

,38

5

194

,72

6

196,0

77

2011 2012 2013 2014 2015 2016 2017 2018

Exports of Goods and Services Export of goods Sugar Export without Sugar Export of services Total Export of Goods and Services

Rs

mill

ions

2018 Export Performance

Export of goods (with Sugar) increased by 1% (Rs 0.7 bn) v/s 2017

Export of goods (without sugar) increased by 6% (Rs 4.7 bn) v/s 2017

Export of services increased by 1% (Rs 0.67 bn) v/s 2017

Increase in export value:

Ship stores and bunkering

Apparel

Jewelry

Total Export of Goods and Services increased by Rs 1.4 bn

Pipeline of Investment Projectswhich will materialise over the period 2019-2022

Rs 6.6 billion Rs 3.8 billion

Rs 13.3 billion

Rs 2.2 billion

Rs 2.4 billion

Rs 2.1 billion

Rs 3.8 billion Rs 18 billion

Rs 12 billion

Agro Industry Healthcare

Hospitality

Logistics

Manufacturing

Real Estate Renewable Energy

Ocean EconomySmart Cities

Faraz Roj id

Financial Services

Banking & Insurance

Crossborderinvestment & services

Support & Professional

services

Listing & Capital Raising

• 184 Management Companies

• 11,000 GBCs

• 983 Global Funds (with assets

under management of > MUR

2,911 bn)

• Stock Exchange

of Mauritius

• New exchanges

• 5 International law

firms

• 2 Leading Arbitration

Centres

• Accountancy Firms

Snapshot

MUR 411 bn

in Market capitalisation;

182 Listings

• 21 banks

• 1 Private Bank

• Insurance &

Re-Insurance

• Captives

Rs 11.9 bn

Total Tax Revenue

Generated (Accounting for

14% of total MRA revenue)

Financial Services: 3rd

Highest Growth Rate

projected

[+ 5.4%]

13,500

Jobs in the Financial Sector

> MUR 800 mn

Licence fees paid

(Year 2018)

Adherence to Inclusive

Framework

Tackle BEPS and treaty abuses

Enhanced Substance Requirements

Employment and operating

expenditures

Repeal of DFTC

Elimination of harmful tax

practices

Implementation of

AML/CFT measures

Changes to Global

Business Regime

Abolish GBC2,

eliminate ringfencing

issues

Recent Reforms

OECD White-Listed

No harmful practices

USD 16 billionNIGERIA

USD 7 billionKENYA

COTE D’IVOIRE

USD 4 billion

USD 3 billionTANZANIA

USD 2 billionGHANA

Prosperous Hub for Mainland Africa

40 % of USD 29 bn total investment outflows to

Africa directed to Non-treaty African countries

Non DTAAs (2012-2017)

11 USD Bn

18 USD Bn

Investment Flows to Non-treaty countries

Investment Flows to treaty countries

Mauritius/Africa Investment Flows

(Year 2018)

Strategy:Visibility

Image Building

Attracting Power

Houses

Image building

and enhanced

brand visibility

Policy Advocacy

Sponsorship to 10 key

financial services

conferences

International

Law Firms

Wealth

Management

Fintech

Investment Banks

Regional Headquarters

EDB’s Actions in

Financial Services

François Guiber t

2019 Outlook

2019 Objectives

IndicatorsAverage

2011 -20172018 2019

% increase

2019 v/s 2018

FDI without reinvested

earnings (Rs billion)12.4 14.9 19.9 34 %

Private Sector

Investment

(Rs billion)

57.4 64 70 9 %

Export of Goods

(without sugar)

Rs billion

76.7 77.6 82 6 %

Export of Services

Rs billion107 114 118 4 %

World Bank Doing

Business Rank20 < 20

EDB Strategy

Accelerate

Established sectors

Sugar Cane

Textile

Fishing

Hospitality

Real Estate

Financial Hub

Diversify investments in High Growth Sectors

Innovate

Through hi-tech field

Accelerate Diversify InnovateExecute

Deploy

Medical

Pharmaceutical

Energy

Transport

Biotechnology

Fintech

Artificial Intelligence

Research and Intelligence

Regional Headquarters for

Africa

EDB overseas offices

EDB economic counsellors

EDB New Overseas Office

Tactics

1 - Reinforce our Global Presence in key markets

• Economic Counsellors support

• New office in China

2 - More accountability & evaluation of performance

• Reporting through CRM

• KPIs

3 - Increase participation in conferences & trade fairs

4 - Diversify our investment & trade base

(Japan, ASEAN through Singapore & Australia)

Increase participation in

conferences & trade fairs

Africa CEO Forum 2019, Rwanda

Committed to unlocking Africa’s economic potential by championing

private sector-led growth, leading discussions around innovative public

policies and sustainable business.

Annual Investment Meeting, Dubai

Aims at promoting Foreign Direct Investment (FDI) and effective ways

to attract investors to various economies

AFSIC, London

Focus on the three key constituents within Africa’s investment universe:• African businesses open for investment

• Investors looking for investment opportunities

• Dealmakers wishing to intermediate the investment process.

Tokyo International Conference of African Development (TICAD), Japan

25th – 26th March 2019

8th - 10th April 2019

8th - 10th May 2019

28th – 30th Aug 2019,

• To sustain the growing momentum in exchanges between Africa and Japan.

• To foster international partnerships for African development

2019

15 10 5 120th

Interministerial Committee chaired by PM

• Drive major reform initiatives (Doing Business, BPR, RIA and

Regulatory Review)

• E-Licensing – Automation of all Construction Related Permits and

Start of Phase 2

Ranking

Business Facilitation

Building, Consolidating &

Promoting the image &

visibility of Mauritius

Setting up of a Steering

Committee on Country

Branding – November

2018

To craft a vibrant,

compelling and forward-

looking brand for Mauritius

Launching of an

Expression of Interest

– February 2019

Country Branding

Outlook 2019 – Major Challenges

29

Global Projections by World Bank’s Global Economic Prospects (January 2019):

o “Darkening Skies”

o Global growth expected to slow to 2.9%

o Trade tensions elevated

o Growth in emerging markets projected to stall

Growth Forecasts – World Bank’s Global Economic Prospects (January 2019):

Region/Country 2019 Growth Forecasts

USA Slow Down to 2.5%

Euro Area Further decelerate to 1.6%

Japan Up from 0.8% to 0.9%

China Decelerate to 6.2%

India Up by 7.5%

East Asia and Pacific Moderate from 6.3 to 6%

Latin America & Caribbean 1.7%

MENA Up to 1.9%

Sub-Saharan Africa Up to 3.4%

Note:

Ivory Coast 7.3%

Ghana 7.3%

Kenya 5.8%

Madagascar 5.4%

Senegal 6.6%

www.edbmauritius.org

Thank you

Mauritius High Commission

EP-41 Jesus & Mary Marg

Chanakyapuri

New Delhi 110021

India

Tel: +91 11 241 02 161

Ambassade de la République de Maurice

127 rue de Tocqueville

75017 Paris

France

Tel: +33 (0)1.42.27.30.19

10th Floor,

One Cathedral Square Building

16, Jules Koenig Street

Port Louis 11328

Republic of Mauritius

Tel: +230 203 3800

Number 52, Regus Business Centre,

West Tower, 2nd Floor,

Nelson Mandela Square,

Maude St., Sandown,

Johannesburg, 2146

South Africa

Tel: +27780860072

Head Office France India South Africa