Luxury Indian Ocean old_Luxury Mauritius No2 Édition 2015 | Page 28

Finance There’s been a phenomenal growth of the offshore sector in Mauritius, which now represents 17% of the Gross Domestic Product (GDP). How fast do you think it will continue to grow? So far, Mauritius enjoys a solid reputation as an international financial services hub in the region and is building up its position within Africa as a whole. Its enhanced efficiency, good governance and enabling environment conducive to doing business have all aided in this process. African investment and trade flows are now increasingly significant. Mauritius is wonderfully situated to benefit from some of these flows particularly from so called SouthSouth investment. But is there a threat to the sector amid the continuing uncertainties surrounding the Doub le Taxation Avoidance Agreement (DTAA) with India? It is important to keep in mind that the DTAA is the cherry on the cake, not the cake itself; it is not the sole reason to do business. And, with the re-alignment of agreements across the world, Mauritius will have to develop an edge. I look at the Mauritius-India relationship in geopolitical terms, not just in terms of the DTAA, for this link is much broader than that and Mauritius is quite important for India. India wants a big say in what’s happening in the Indian Ocean region and in East Africa. As such, the DTAA was not signed solely for investments into India, it was also signed for facilitating Indian investments into Africa. That was the core base of the DTAA. The world is not static and the financial services sector will face many challenges in the years to come, especially with regard to the implementation of the General AntiAvoidance Rules (GAAR). But as long as Mauritius remains competitive and continues to build upon its operational strengths, we can all be confident. The key is to strive towards diversifying core markets and products offerings. Can we not exploit the potential of our efforts on treaties with African countries? Is the DTAA with India that important to Mauritius? The financial services sector is dependent upon a significant volume of international business which uses Mauritius as an international financial centre. And we can definitely take advantage of the added opportunities presented by the positive changes in the regulatory landscape. Now, a substantial amount of time is devoted LUXURY MAURITIUS to capitalising on tapping into business opportunities in Africa, as Mauritius continues to step up efforts to become the gateway of choice for investments there. There will be a different set of challenges to be faced and opportunities to be captured following the inclusion of the Limitation of Benefits “LOB” clause in the Indian treaty. Are your clients nervous about this? As a matter of fact, no! We opened our whole, I am extremely satisfied and feel that Mauritius, as a jurisdiction, will do extremely well over the next decades. What are your plans for the future? We are continuing our strategy of creating a broader global footprint to better serve our clients across the world. We’ll keep Mauritius as a cost-effective and efficient base for all of our operations. We are also repositioning ourselves to “AS LONG AS MAURITIUS REMAINS COMPETITIVE AND CONTINUES TO BUILD UPON ITS OPERATIONAL STRENGTHS, WE CAN ALL BE CONFIDENT” Singapore office thinking some might want to move their business there, but not one client has left us to go to Singapore! And, when we acquired the books of Ernst and Young and Arthur Andersen, two of the biggest financial institutions in the world, we noticed their clients only wanted to invest in India. We also believe that the Indian Government would not deliberately want to deprive themselves of foreign direct investments. better take advantage of the wider range of opportunities which will emerge from the Power-Africa and other US-Africa Business Forum initiatives. Basically, we have positioned ourselves to be a specialist one-stop shop in a number of areas. We want to become an outsourcing hub for international clients and offer them an array of professional services: legal and tax advice, asset management, corporate advisory, HRrelated services and e-commerce platform. But your Singapore venture has been successful, hasn’t it? Our Singapore office remains competitive and is expanding fast. Singapore has developed into an excellent financial centre in Asia. It is competing fiercely with other thriving Asian economies and is now seen as the gateway to Asia. Clients can register their companies in Singapore, through our offices, in a much more cost-effective manner given that some of the back office work can be done in Mauritius, serviced by our pool of highly qualified and experienced professionals using our leading technology platform. What about human resources? Is it difficult to find the right people to work in this sector? Mauritius has a pool of highly qualified, talented and hardworking professionals – accountants, lawyers and financial analysts. My advice is that after they have gone through university, graduates should spend a few years abroad, for an international exposure. This will help them think out of the box and develop a more proactive work ethic. On the 28 33, Edith Cavell Street, Port Louis, Mauritius T+230 212 9800 [email protected] www.cimglobalbusiness.com