“We are creating a catalyst environment for private investment”

Dhaneshwar Damry, Junior Minister of Finance 

• “Our priority is to revive growth through investment”

• “I would like to see a French investment bank and a French private bank operating in Mauritius”

• “Mauritius will protect your investments”

At the France-Mauritius Business Forum, Junior Minister of Finance Dhaneshwar Damry outlined Mauritius’ strategic vision for economic resilience, climate sustainability, and investment growth. Highlighting the strong partnership with France and positioning Mauritius as a gateway to Africa, he invited French entrepreneurs to seize new opportunities in a country committed to innovation, good governance, and sustainable development.

Mauritius is positioning itself as a strategic bridge between France and Africa, Junior Minister of Finance Dhaneshwar Damry said during the France-Mauritius Business Forum held recently in Mauritius. The event, organised by the Economic Development Board (Mauritius) and the Mouvement des Entreprises de France International (MEDEF International), in collaboration with Business Mauritius and Business France, brought together political and business leaders to deepen economic ties.

Speaking at the opening, Minister Damry recalled the strong historical relationship between Mauritius and France, describing it as “a strategic partnership, a historical partnership,” and highlighting that “France has always responded whenever Mauritius has called for support.”

He pointed out that the latest demonstration of this cooperation was the signing, earlier that same day, of financing agreements with the French Development Agency (AFD) amounting to €160 million. These funds are earmarked to support climate-related projects through Mauritian banks. “The agreements signed this morning are linked to the government’s programme for climate resilience and environmental sustainability,” the Junior Minister said.

Minister Damry also gave a candid overview of Mauritius’ economic situation. “Today, public debt stands at almost 90% of GDP, and the budget deficit is close to 10%,” he noted. Nevertheless, he insisted that the country is focused on building “a new economic model based on investment and innovation,” guided by three core values: social justice, climate justice, and gender justice.

Mauritius, he explained, aims to mobilise approximately $6.5 billion for investment in climate-related projects, focusing on four pillars: water, renewable energy, coastal erosion, and waste management. “We need about one-third from local mobilisation, and two-thirds from international mobilisation,” he said.

The Minister called for greater French investment in sectors beyond traditional real estate, mentioning financial services, the blue economy, digitalisation, and start-ups. “This government believes in sustainable development. We want to consolidate the financial services sector, which today contributes 14% to GDP, and provides around 12,000 jobs,” he stated.

Dhaneshwar Damry made a direct appeal to French investors: “Personally, I would like to see, in the next two to three years, a French investment bank and a French private bank operating in Mauritius.”

Mauritius is also pursuing the digital transformation of its economy. “The government intends to digitalise the entire country,” Minister Damry said, adding that the presence of the French Tech ecosystem and a growing community of around 18,000 French expatriates in Mauritius is a sign of strong bilateral engagement.

“The agreements signed with AFD are linked to the government’s programme for climate resilience and environmental sustainability.”

He also emphasised the government’s commitment to fostering a pro-business environment. “We are creating a catalyst environment for private investment. Our priority is to revive growth through investment,” he said, pointing to fiscal constraints that limit the government’s capacity to invest directly.

In line with this, Mauritius is reinforcing good governance through initiatives such as performance-based budgeting and discussions with the AFD and the European Union on the Public Expenditure and Financial Accountability (PEFA) framework. “Good governance is something this government will not compromise on,” the Junior Minister affirmed.

Mauritius is also exploring the creation of a Climate Finance Unit and a Climate Governance Unit within the Ministry of Finance to strengthen the management and financing of climate projects. “We are innovating within the government,” Dhaneshwar Damry said.

Looking beyond immediate reforms, Minister Damry underlined Mauritius’ African identity and ambitions. “Mauritius is proudly African,” he declared, mentioning efforts to strengthen connectivity – whether aerial, port, digital, diplomatic, or financial – with the African continent. “Mauritius will play the role of a bridge towards Africa,” he affirmed.

In his closing remarks, he highlighted three major opportunities for investors: the blue economy, the digital economy, and Mauritius’ role as a risk-mitigating gateway to Africa.

Minister Damry pointed out that while Mauritius has a maritime exclusive economic zone of around 2.3 million square kilometres, it currently contributes little to the national economy. “This is a huge potential,” he said.

Similarly, he emphasised the need to expand the digital economy, aiming to double its current contribution of around 6% of GDP.

Commenting on the low levels of intra-African trade, he said that “trade between African countries stands at just 15%, compared to 70% between Asian countries and about 50-55% in other regions. Mauritius can help mitigate the Africa risk premium for investors.”

Minister Damry reassured participants about Mauritius’ business environment. “We are facilitating administrative procedures, ensuring predictability and certainty,” he said. “Mauritius values entrepreneurs. Mauritius will protect your investments. Mauritius will be a bridge to your future.”

He encouraged French businesses to join Mauritius in shaping a resilient and dynamic future: “Today, the whole of Mauritius – the government, the private sector, and civil society – is aligned in one direction: to create a sustainable, free Mauritius, where everyone has the opportunity to build a business and express their opinions freely. We invite you, dear French friends, to join us.”