Mauritius National Budget 2012: Highlights
Dear Valued Investors,
Articulated around the concept of "Growth For The Greater Good", the 2012 Budget commissions the Board of Investment to offer "a unique experience for investors".
In this special edition of our newsletter we bring you the good news, namely the consolidation of our competitiveness through growth strategies and the abolition of a series of taxes, amongst others the removal of the solidarity tax on dividends and interest effective on 1st January 2012 and, with immediate effect, the cancellation of the capital gains tax on immovable property.
Business facilitation, a determining factor in the investment equation, has been given a special attention. In view of further increasing efficiency, a new system aiming at reducing the processing time for registering properties from 15 to 2 days is being introduced by next week. The focus is on attracting higher investment for the acquisition of advanced technologies to achieve higher productivity and greater efficiency, allowing Mauritius to move towards increased prosperity by further democratizing our economy with ease of access to finance for the development of the Micro/SME sector, the greater empowerment of women and enhanced training schemes for our youth.
Investment is our engine of growth. The measures announced allow for continuity in our endeavor to further open our economy in terms of foreign talents and investment.
At the same time, the scope of investment at home is being broadened, providing investors with more opportunities. The creation of new sectors like commercial marinas and film making will allow new ventures. Specific measures aimed at revamping the financial services, agriculture, fisheries, tourism, ICT/BPO, knowledge, construction and healthcare sectors equally provide for new investment prospects. As a lever to boost investors' confidence, a total of MUR 21.2 billion will be injected in key infrastructure projects.
The newly announced National Resilience Fund (NRF) totaling MUR 7.3 billion puts a special focus on the promotion and internationalization of Mauritius as a preferred investment destination in both our traditional as well as new markets including India, China and Africa. The commitment of the Government to position Mauritius as the preferred platform for Africa is testified by its dedication to signing more DTAAs and IPPAs with African nations like Tanzania, Algeria and Angola as well as positioning Mauritius as the undisputed hub offering more connections with Africa and emerging economies.
The investment climate is rendered safer through the creation of more jobs, the launching of a more inclusive housing programme and the implementation of strong social measures.
This budget is accompanied by a six-month implementation timetable which will allow us to monitor our performance and progress.
I invite you to read through the analysis made by the BOI team concerning the measures announced by Honourable Xavier-Luc Duval in this 2012 Budget.