We are presently in a dynamic environment that will experience multiple changes post the recent regulatory, technological and socioeconomic evolution. Banks remain an essential component of the ecosystem and we will have a decisive role to play in this economic recovery.

Enjoying an array of strategic advantages, Mauritius has successfully positioned itself as an International Financial Centre for over 25 years now. It is undisputable that the economic fallout from last year’s events will have a bearing on regional flows. The classification of Mauritius as a High Risk Third Country by the EU as from 1^st October 2020 entails reputational, business and operational risks and the impending impacts are to be closely monitored. However, therein lies the opportunity for us to have a 360-degree assessment of our ecosystem and fortify areas such as transaction monitoring and enhanced due diligence to deepen our alignment to international best practices. We remain confident that with a collaborative approach with all relevant stakeholders, Mauritius will come out stronger as an International Financial Centre.

The unique COVID-19 situation has mandated a one-of-a-kind Government intervention, who announced multiple measures to reboot the economy post COVID-19 in its 2020 Budget. This was complemented by the Bank of Mauritius’ monetary policy in the guise of its COVID-19 Special Relief Programme and the setting up of the Mauritius Investment Corporation Ltd (MIC) as a Special Purpose Vehicle in view of ensuring that systemic economic operators are kept afloat and jobs are preserved. To further reinforce Mauritius’ position as a regional Investment Hub, an expansionary fiscal policy is likely to be effective in the current circumstances. Additionally, the imminent challenge or rather opportunity of leveraging on our extensive Double Taxation Avoidance Agreements network will be as to how we harness the additional value to be yielded from these bilateral relationships on a country-to-country level to propel economic growth.

The Bank commits itself in playing its role in powering up economic recovery for the region by being a key enabler for investment flows and mobilising adequate resources for a more inclusive growth. Our focus will remain on our three primary markets: Africa, Asia and Europe.  Africa is a powerhouse whose potential is to be harnessed by combining the right expertise and know-how with an enhanced public-private partnership. Asia is a torchbearer for developing countries; the continent’s advanced technical know-how and digital mindset are a valuable learning for us whilst we replicate their successful strategies based on our cultural similarities. In so far as Europe is concerned, the regionalisation of European countries’ activities to leverage competitive costs makes Mauritius an attractive hub for their offshoring needs.