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. The establishment of the Financial Crimes Commission in December 2023 aims to enhance the fight against corruption, although it has faced criticism for potentially undermining democratic processes. Despite improvements in the Corruption Perceptions Index, reports indicate a decline in democratic governance and increasing corruption since 2017, with ongoing efforts to address political party financing and strengthen anti-corruption laws.

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, largely driven by tourism and construction. The country has diversified from a sugarcane monoculture to a more varied economy, including sectors like manufacturing, services, and ICT, although it faces challenges such as structural issues and disparities in the labor market.

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 numerous Double Taxation Avoidance Agreements and maintains low corruption levels, although recent scandals have highlighted areas for improvement in transparency. The Economic Development Board serves as a single gateway for investors, providing support and aftercare services to facilitate business operations in the country.