Indian-Mauritian DTA Amendments saw Investment Drop by 70% in 2018
India lost a huge number of Mauritian investments last year to Singapore. Financial reports for the island have shown that investors from Mauritius opted to send their funds through Singapore entities instead.
General foreign direct investment to India fell by 70% in the first two quarters of 2018; while capital invested via Singapore increased by 79%; shifting Mauritius as the leading source of foreign investment in India. Experts have attributed the revision of the Mauritian-Indian Double Taxation Agreement in 2017 and the consequent shift to the exposure of Indian CGT (capital gains tax) to Mauritius-based companies.