FATF status

Mauritius is no longer on the FATF List of Countries that have been identified as having strategic AML deficiencies

European Commission list of countries with strategic deficiencies in their AML/CFT regimes

Mauritius was removed from the EU Commission list of high risk countries in March 2022.

Compliance with FATF Recommendations

The latest follow-up Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Mauritius was undertaken in 2022. According to that Evaluation, Mauritius was deemed Compliant for 26 and Largely Compliant for 14 of the FATF 40 Recommendations. It remains Highly effective for 0 and Substantially Effective for 0 of the Effectiveness & Technical Compliance ratings.

Corruption in Mauritius is relatively low compared to regional standards, yet concerns persist, particularly regarding high-profile cases involving political figures. Recent developments include the establishment of a Financial Crimes Commission aimed at centralizing efforts to combat corruption, although the law has faced criticism for potentially undermining democratic processes. Despite improvements in corruption perception ratings, legal loopholes and weak enforcement remain issues, with ongoing discussions about regulating political party financing and enhancing whistleblower protections.

Mauritius has developed a stable and competitive economy, achieving middle-income status in less than 50 years, with a real GDP growth averaging 4.7 percent from 1968 to 2017. Despite setbacks from the COVID-19 pandemic, the economy rebounded strongly, with an estimated GDP growth of 7 percent in 2023, driven by tourism and construction. The country has diversified from a sugarcane monoculture to a manufacturing and service-based economy, but still faces structural issues and disparities in the labor force.

Mauritius has established a pro-trade and investment climate, characterized by a well-regarded legal and regulatory framework that actively seeks foreign direct investment. The government has signed Double Taxation Avoidance Agreements with 46 countries and promotes itself as a safe place for business, although recent political and economic corruption scandals have raised concerns about transparency. Despite these challenges, Mauritius ranks highly on various indices for economic freedom and business friendliness, making it an attractive destination for investors.