The evolving economic landscape investment opportunities and improved

The evolving economic landscape, investment opportunities and improved business climate of Mauritius www. investmauritius. com Mauritius Embassy, Cairo, Egypt

Agenda 1. Overview: The Mauritius Economy 2. The Mauritius Business Environment 3. Investment Opportunities

The Mauritius Economy Mauritius Attributes Dynamic & diversified economy Political, social and economic stability Strong and supportive private sector Established rules of law with the Privy Council as the Highest Court of Appeal

The Mauritius Economy Evolving Economic Landscape INNOVATION DRIVEN SERVICES INDUSTRIA L MONOCRO P USD 320* Sugar USD 1, 000 Textile Sugar Tourism USD 2, 500 Textile Sugar Tourism Financial Services ICT Freeport USD 20 k by 2020 s USD 7, 500 Textile ICT Financial Services Seafood Logistics Property Development Healthcare & Life Sciences Knowledge Renewable Energy * GDP per capita

The Mauritius Economy Sectoral GDP Contribution (2010) Public Administration 6. 1% Education Healthcare 4. 4% 3. 6% Manufacturing 18. 4% Real Estate 12. 3% Construction 6. 9% Retail 11. 8% Financial Intermediation 10% Logistics 9. 5% Hospitality 7%

Agenda 1. Overview: The Mauritius Economy 2. The Mauritius Business Environment 3. Investment Opportunities

The Mauritius Business Environment New Business Environment Start Up Start a business in 3 working days No minimum capital requirement 100% Foreign ownership Occupation Permit Delivered In 3 working days Silent agreement principle Total issued to date: 8654 Property Acquisition Facilitate property acquisition Ex post control

The Mauritius Business Environment Mauritius Fiscal Regime Taxation Exchange Control Homogenised 15% corporate tax Personal Income tax set at 15% Local government tax Free movement of Capital Land Acquisition of property by noncitizen Land transfer & Registration Duty at 5%

The Mauritius Business Environment International Benchmarks INDEX RANK Index of Economic Freedom 2010 12 th out of 179 countries -1 st in Africa World Bank Doing Business Survey 2011 20 th out of 183 countries -1 st in Africa Ibrahim Index of African Governance 2010 1 st out of 48 African countries Global Competitiveness Index 2010 - 2011 55 th out of 133 countries

The Mauritius Business Environment FDI Inflows (1997 – 2010) USD millions 464. 9 380. 6 227 293. 1 240. 7 87. 7 61. 4 93. 6 36. 3 9. 1 40. 4 383. 8 29. 3 30. 6 56. 1

Agenda 1. Overview: The Mauritius Economy 2. The Mauritius Business Environment 3. Investment Opportunities

Investment Opportunities From Sugar to Cane Industry Cost reduction through centralisation and clustering process Energy Production via renewable resources Sugar Sector Strategic Plan & Multi Annual Adaptation Strategy Development of an efficient cane industry: white & special sugar, ethanol

Investment Opportunities Evolution of Manufacturing Sector Nascent Manufacturing Vertical Integration of the Textile Industry Bulk Apparel Jewellery Manufacturing Producer’s Designs (Brands) 1970 s- 1980 s 1990 s – 2000 s Value Addition & Diversification Fashion Industry Precision Manufacturing Medical Devices 2010

Investment Opportunities Manufacturing Sector Actual contribution to GDP: 18. 3% FDI: In excess of MUR 1 billion - 2010 FDI Evolution for past 5 years 1, 026 485 271 181 149

Investment Opportunities Evolution of Seafood Industry 2010 s 2010 Marine Sustainability - Large scale aquaculture - Offshore fishing farms - Sustainable development Exclusive Economic Zone of 1. 9 million km² Support Agencies & Infrastructure 1990 s Modern Fisheries - Diversification of fishing activities - New technology Cold Supply Chain Readily available 2000 s Seafood Hub 1980 s Tuna canning - Tuna fishing & canning for export - Fish processing & storage facilities - Fish transshipment - Ship repair and other services Market Access

Investment Opportunities Exclusive Economic Zone

Investment Opportunities Property Development Landscape 2010 Onwards 2000 Onwards 1990 s - Hotels - Commercial - Office 1980 s - Hotels - Commercial - Office - IRS - RES - Mixed Use - Invest-Hotel

Investment Opportunities Cumulative Sales of IRS & RES villas USD 831 million 689 Cumulative Sales - Units 700 608 600 482 500 510 544 639 566 USD 387 million 400 351 426 405 391 387 376 299 258 300 214 200 100 USD 82 million 98 20 49 133 161 177 65 8 20 Q 09 2 20 Q 09 3 20 Q 09 4 20 Q 09 1 20 Q 10 2 20 Q 10 3 20 Q 10 4 20 Q 10 1 20 Q 11 2 20 11 1 Q 8 20 0 4 Q 8 20 0 3 Q 8 20 0 2 Q 7 20 0 1 Q 7 20 0 4 Q 7 20 0 3 Q 7 20 0 2 Q 6 20 0 1 Q 6 20 0 4 Q 6 20 0 3 Q 6 20 0 Q 2 20 0 1 Q Q 4 20 0 5 0

Investment Opportunities Hospitality & Property Investment USD million p. a 1157 1186 1198 Total Investment 887 632 391 495 554 504 234 7 7 17 43 103 196 205 275 Foreign Investment Source: BOM FDI Statistics; * BOI provisional forecasts 2010

Investment Opportunities Nationality of IRS & RES buyers Nationality – IRS Buyers Nationality – RES Buyers Swiss 4% Indian 3% South African 30% French 37% French 36% South African 41% British 20% Mauritius 9% British 3% Mauritius 11%

Investment Opportunities Future Developments Industrial parks Real Estate (IRS, RES, Mixed Use) Hotel Knowledge Hospitals

Investment Opportunities Regional Logistics Hub Transshipment by Port of Discharge: The most competitive port in the region: Low Port Dues and Cargo Handling Cost New utilization rate: 57 per cent (700 000 Teus)

Investment Opportunities Container Traffic Total Container Traffic YEAR 2010 1980 20, 712 2010 332, 662 Transshipment Total Containers Total Transshipment Containers YEAR 2010 1980 0 2010 109, 992 CAGR of 10%

Investment Opportunities Freeport Performance Volume (tons) Cumulative Investment (MUR Billion) 323, 000 5 CAGR 18% 20, 956 2. 5 1. 5

Investment Opportunities Evolution of ICT-BPO Industry 2002 400 companies Promulgation of DPA Act First Certified TIER IV Data Centre in the Indian Ocean 148 companies Shift towards more value added domain , software development activities Break through: Connection to SAFE International Fibre Optic Cable 2004 72 companies Data Entry and Telemarketing activities Emergence of Mauritius as a Disaster Recovery and Business Continuity hub 2006 2008 258 companies Mauritius positioned as a Data Centre hub 2010

Investment Opportunities ICT/BPO Industry Job Creation Sources of investors South Africa & other USA, Canada African & Carribean Countries islands 2% 4% 11, 435 6, 960 15, 000 10, 440 3, 801 5, 513 Europe 40% Mauritius 42% Contribution to GDP (%) 6. 4 5. 3 5. 4 Asia Pacific With Indian a Ocean 6% Mauritian Islands Partner 3% 4% 5. 3 5. 5 5. 7

Investment Opportunities Evolution of Financial Services Sector Launching Mauritius as an ‘offshore’ centre 1838 Creation of first commercial bank in Mauritius 1992 Introduction of the single banking license 2001/2002 New financial products & strengthening of the Regulatory framework Anti Money Laundering Act 2002 2004 Moving to Substantive, High Value Added Services 2007/2008 Legislations for New Investment Products 2010

Investment Opportunities Your IFC for Emerging Markets Investment Geographical Breakdown: Source of Investment Africa 16% Others 4% America 30% Geographical Breakdown: Investment through GBC 1 Others Europe America 4% 4% 2% Africa 13% Europe 24% Asia 26% Asia 77% * Figures as at June 2010

Investment Opportunities Capital Market Transactions First exchange in Africa to list, trade and settle in USD, Euro and GBP Recognised by UK’s HMRC Breakdown of Foreign Investment on South Cayman SEM Islands Others 8% Africa 6% 3% Total Annualised Return: approx 18% First multi asset class exchange in this region (Turnover > 50 Million USD) United Kingdom 35% European Union 13% Ivory Ghana Coast 1% 2% United States 30% Hong Kong 2%

Investment Opportunities Emergence of Mauritius as a Medical Hub Contribution of Healthcare sector to GDP (2010): 3. 6% 2011: 800 beds in private sector and 3, 500 beds in public sector 2010: Above 10, 500 foreign patients seeking outpatient & inpatient treatment in Mauritius 2006: Business Facilitation Act promotes foreign investment in medical institutions 2005: 1000 foreign patients visited Mauritius Emerging as a medical travel destination with 500 beds 2020: Target of 100, 000 foreign patients 2010 - 2011: Preparation of Clinical & Preclinical Research Legislation 2007 -2009: Increasing FDI in Healthcare sector. Major international players invest in high quality specialty and multi-specialty centers.

Investment Opportunities Overview of the Healthcare Sector Number of Private Clinics Treatment Areas Chiropractors 10% Orthopaedics 12% Fertility 8% Hair Treatment 3%ENT 1% Dentistry 11% Others 12% Cardiology 18% Cosmetic And Plastic surgery 25% 17 12 13 13 20 20

Investment Opportunities Evolution of foreign patients seeking treatment in Mauritius Source countries of foreign patients South Africa Medical travel: an eight-fold increase over four years 10, 600 Reunion Island 14% 8% UK 5% Comoros 3% Rest of the World 13% 8, 500 5, 000 1, 500 France 14% Seychelles 15% Madagascar 28%

Investment Opportunities Knowledge Sector 2012 Construction of new campuses by the Government 2011 Setting up of Study Mauritius Office 61 higher educational institutions The Tertiary Education Commission (TEC) regulates private post-secondary education institutions 1976 2010 Dedicated Ministry for Tertiary Education, Science, Research and Technology 2005 More than 41, 000 students enrolled in Tertiary 2000 Education Creation of the 2 nd Public University: University of Technology, Mauritius Enrolment in Tertiary Education: 17, 000 students Free Education by the Government

Investment Opportunities Knowledge Sector 1, 000 foreign students are studying in Mauritius Target: 100, 000 students by 2020 Breakdown of Foreign Students by Region African 10% Asian 39% Regional 42% European 9%

Investment Opportunities New Sectors & Opportunities

Thank You Embassy of Mauritius, Cairo