Mauritius, foreign direct investment (FDI) inflows surged by 27% to 23.1 billion rupees ($503 million) in the nine months leading up to September compared to the previous year. This notable rise was primarily propelled by increased property sales, reflecting the nation’s appeal to international investors.
Real estate transactions dominated the investment landscape, constituting a substantial 69% of total foreign investments. Inflows into the real estate sector witnessed a remarkable 59% increase, reaching 15.85 billion rupees ($350 million). Particularly noteworthy was the robust performance in luxury residential unit sales to foreigners, which saw a notable increase of a third, totaling 10.24 billion rupees, as reported by the Port Louis-based Bank of Mauritius.
Furthermore, investments directed towards accommodation and food services activities saw a remarkable increase, more than doubling to 2.48 billion rupees, according to preliminary data provided by the central bank.
These investment inflows serve to bolster Mauritius’ tourism revenue and enhance exports of manufactured goods, both pivotal sources of foreign currency for the Indian Ocean island nation. Notably, Europe emerged as the primary source of foreign direct investments, with France leading the way.
The surge in foreign investment underscores Mauritius’ attractiveness as an investment destination, particularly in the real estate sector. As the nation continues to diversify its economy and attract foreign capital, such developments are poised to contribute significantly to its economic growth and stability in the foreseeable future.
By: Delino Gayweh
Serrari Financial Analyst
February 12, 2023
