Africa-Press – Mauritius. The fifth Trade Policy Review (TPR) of Mauritius, held at the World Trade Organisation (WTO) in Geneva from 09 to 11 November 2021, was an opportunity for the Mauritian delegation, led by the Minister of Land Transport and Light Rail, Minister of Foreign Affairs, Regional Integration and International Trade, Mr Alan Ganoo, to outline the progress made by the country in terms of trade policies and practices.
In his concluding remarks, this afternoon, Minister Ganoo addressed several issues raised by more than 50 delegations during the fifth TPR of Mauritius.
At the very outset, Minister Ganoo recalled that Mauritius has made significant progress since the last review particularly in the area of business and trade facilitation and in the transition from a monocrop economy to a services based economy which is evidenced by the share of services in the country’s Gross Domestic Product (GDP) which stands at 70%.
The Minister also commended the recognition of Mauritius as a vibrant democracy where good governance, the rule of law and transparency are important values which are constantly promoted.
Speaking about the impact of COVID-19 on the country, Minister Ganoo pointed out that Mauritius was greatly affected, with a contraction of the GDP by 14.9% in 2020.
The public sector debt, he observed, reached 83.4% of GDP at end June 2020 compared to 65% at end of June 2019. This, he stated, shows the exposure of the country to external shocks given that it is an open economy, and fully integrated in the global economy.
As a small Island developing country, Mauritius has no option than to pursue an open economy policy and to rely on international trade for its development, while remaining vulnerable to frictions in the global economy, he observed.
The main action to activate the recovery phase, stressed the Minister, was the full opening of borders so as to get the tourism industry going again. He also underscored that, in a bid to reboot the economy, the Plan de Relance de L’Investissement et de l’Economie was unveiled in the 2020-2021 Budget Speech.
Government’s strategy on economic recovery and the future development path, he added, rests on three main pillars namely: giving an exceptional boost to investment; shaping a new economic architecture; and restoring confidence.
The Plan would re-engineer the industrial fabric and further improve the ease of doing business, with the aim of increasing the attractiveness of Mauritius as an investment destination.
Furthermore, Minister Ganoo underlined that the period under review also demonstrates the consolidation of the services sectors in the country’s economy.
For instance: the BPO sector now accounts for around 63% of total employment; various measures have been taken regarding financial services so as to reinforce the credibility of the Mauritius jurisdiction; several initiatives have been put in place to promote Mauritius as a regional fintech centre; and guide on green bonds and sustainable financing has also been elaborated, he stated.
Mauritius has also put in place an effective physical and soft infrastructure to enable e-commerce transactions. As far as incentives to trade and investment is concerned, Mr Ganoo indicated that Mauritius provides a stable political and social environment, coupled with an effective judicial system, sound regulations and institutions which have secured a favourable risk and investment climate position.
He underpinned that Mauritius has a very straightforward, transparent and competitive tax regime and is known to be a very cooperative jurisdiction, compliant with international best practices.
Coming to the Market Access issue, he emphasised that as far as the services sector is concerned, the country’s commitment to open up is evidenced by the various Free Trade Agreements concluded.
“We are in favour of an ambitions Agreement on Trade in Services at the WTO, which was one of the reasons for joining the TISA negotiations”, he added.
Moreover, he underlined the fact that Mauritius is open to negotiate comprehensive Free Trade Areas with interested countries, with a view to eliminating barriers to trade in goods and services.
In addition, Minister Ganoo provided clarifications and details regarding Government procurement; intellectual property; the role of Government in the economy; as well as women and trade. Before concluding, Mr Ganoo reiterated the commitment of Mauritius to the objectives of the WTO and to the multilateral trading system.
He reassured that Mauritius will continue to engage constructively in WTO’s work; adhere to the Initiative on Electronic Commerce as requested by some Member States; and positively consider the request to connect the country’s Single Window to those of other WTO members.
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