The formerly agricultural based economy of Mauritius is now competitive in tourism, financial services and industrial infrastructures, with an average minimum annual GDP growth of 3%.
Mauritius became a republic in 1992 and has sustained a firmly growing economy since. According to a World Bank’s research paper, the idyllic African island has recorded a 3.5% GDP growth rate in 2014, despite the decline of the construction sector.
The structural changes within the composition of its economy during the past ten years yielded an enormous boost to the services sector, especially and more specifically to the financial services, trade, and ICT sectors, which grew by 5.4%, 3.2% and 6.4% respectively during the past year. Growth in the tourism sector also reached 4.1% in 2014.
The small Stock Exchange market of Mauritius may have a mere 40 companies listed, however the total market capitalisation is now reaching approximately US$53 billion. It is considered relatively easy for an investor to open an account to invest in any of the listed securities.
Despite the decline of the Stock Exchange by 10% during the year, as a result of the construction sector, analysts urge investors to keep it in their watch list as a possible profitable investment opportunity.
The forecast for the GDP growth rate for 2015 is predicted to reach 3.5% in 2015 and 3.6% in 2016, mainly due to the increased domestic investments and a stronger external demand.