Foreign direct investment opportunity Mauritius
Foreign direct investment opportunity Mauritius
Over the past several years, Mauritius has developed the reputation of being the international business hub of the Indian Ocean. It’s strategic geographic location, the favorable time zone, and the support of the government has seen numerous foreign investors looking to start their business in the country. Foreign direct investments have flown in steadily and the economy of Mauritius has grown as well. And every single year the reasons to invest in this country are becoming greater. With all that being said, listed below are 7 reasons why one should consider injecting foreign direct investment opportunity Mauritius.
- Favorable tax system- Taxation has always been a significant issue when it comes to foreign direct investment opportunity Mauritius. A country can be the best in terms of doing business and yet people will think twice about investing there simply because the country has high tax rates. In Mauritius one can consider the country as a tax haven. The income tax is relatively lower than most countries with the rate standing at a mere 15% for all personal and corporate incomes. That’s not all, there is no inheritance tax, or tax on dividends. There is a tax credit of 80% for all offshore companies and all the value added tax can be easily refunded. All these end up creating a favorable tax system for foreign investors to conduct business in Mauritius.
- Protection of Assets & Double Taxation-As it stands, Mauritius has several agreements and multi lateral treaties which ensures that the assets of the investors are always protected. This basically allows foreign investors to invest their capital without the thought of losing it at all. Furthermore Mauritius has signed double taxation agreements with 37 different countries. This list includes the likes of France and even UK. Its helps people from those 37 countries to be taxed at the rate of their country of origin. All these end up providing opportunities for more foreign direct investments to flow inside the country.
- Strategic Geographical Location- A country’s geographic location can be the key in persuading foreign direct investments in their favor. The way Mauritius is located, it has become the business hub of the Indian Ocean. It is placed in such a way that one can easily connect to the African continent, India and the rest of Asia. This basically allows all the foreign companies and investors to venture into other markets by establishing business inside Mauritius. It is a win-win situation for all parties involved. Furthermore, the time zone of GNT+4 allows businesses in Mauritius to carry on their business activities with countries like USA, Australia, Africa, Asia all within the same day. That is one of the best features of Mauritius which should guarantee FDIs.
- Favorable workforce- A key feature of any business activity in any country is the workforce. These people are going to be employed by the companies and are going to determine how much work that can be done. Even though there is a small population in Mauritius, literacy rate among these people is in the high 80 percentile. The people are of bilingual origin meaning they can speak both English and French. Some of them can even speak a third language which makes communicating with them so much easier. The workforce in Mauritius is highly trained with a lot of them working in the tertiary sector. All these indicate that anyone looking for an opportunity to invest in this country will have a ready made workforce to work with and that shall make the transition of starting a business in a new country smoother and easier. It will also translate in more productivity as less time will be spent on training these professionals.
- Free Zones and Free Ports- Ever since 1992, Mauritius has become a free zone or a free port for the rest of the world. Companies can safely come to the ports of this great island and repackage their products for further exporting. The government of Mauritius wants the country to become the logistical center of the Indian Ocean. It wants to connect all the ships and their containers from Asia to Africa and vice versa. The benefit for foreign investors here? It has been stated that any company willing to work for the Free ports will be exempted from company taxation. This means that with proper foreign direct investment opportunity Mauritius, a foreign investor can start a company in Mauritius and if they are able to provide support to the Free ports then they wont have to pay any sort of taxes. It is like the best deal and opportunity for any company or individual who is looking to create a solid business in a country like Mauritius.