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The members of the Groupe des Superviseurs Bancaires Francophones (GSBF) unanimously approved the election of the Bank of Mauritius (BoM) as president of this supervisory body for a two-year mandate. The BoM, having joined the GSBF in September 2020, was voted to spearhead efforts around the adoption of highest standards of anti-money laundering and combating the financing of terrorism (AML/CFT) by banking supervisors during this term.

The GSBF regroups banking supervisors both from Basel Committee member and non-member jurisdictions with the prime objective of encouraging interaction between the Basel Committee and non-member francophone supervisors.

The unprecedented decision of all 28 country members to nominate the BoM for the next presidency is testament to the institution’s commitment to strengthen collaboration among these banking supervisors on key global issues.

Check out the communique here for more information.

Effective as from 26 March 2023, Vistara, a full-service Indian carrier, will operate five weekly flights to Mauritius. This travel update was announced on 8 February 2023 by the Minister of Tourism of Mauritius at a Gala Dinner hosted by the Mauritius Tourism Promotion Authority (MTPA) in Delhi.

Sponging on an already strong bilateral cooperation, the new flights add a new dimension to the local tourism sector as it will aim to increase seat capacity amid a growing need to accommodate high passenger traffic between Mauritius and India.

In an effort to further encourage travel between the two countries, Air Mauritius, the national airline, is further planning to operate two weekly flights to Delhi as from May 2023, in addition to the current six weekly flights to Mumbai.

More information can be accessed here

On 6 February 2023, the World Intellectual Property Organisation (WIPO) announced that Mauritius has become the 114^th member to join the Madrid System, which is an international centralised trademark system aimed at facilitating trademark application and protection. Through the filing of one international application and payment of a single set of fees, brand owners from Mauritius are now able to seek protection of their trademarks in any of the other 129 countries covered by the Madrid System.

New users worldwide now have the ability to designate Mauritius when securing international protection for their trademarks, while existing members of the Madrid System can expand the geographical scope of protection of their registrations to include Mauritius.

With the prominent role that Intellectual Property (IP) plays on the development of Mauritius’ knowledge-based economy, this newly adopted policy will aim to further position the country as a hub that promotes and actively protects research and innovation vis-à-vis international parties.

The Madrid Protocol will enter into force in Mauritius on 6 May 2023.

More information on the above can be accessed here

The Ibrahim Index of African Governance (IIAG) measures and monitors governance performance in countries across Africa. Through four main components – Safety & Rule of Law, Participation & Human Rights, Sustainable Economic Opportunity and Human Development – which are further broken down into sub-indicators (81 in total) which cut across all aspects of governance and allows for quantifiable measures.

From the 2022 Index Report, we note that Mauritius maintains its topmost position in Africa, having ranked first over the whole decade, with a score of 74.9. The country ranks among the top three countries across all four components. Seychelles follows slightly behind with an overall governance score of 73.4, which is deemed to be the largest improvement in the region in 2022-2021.

Access the full report here for more information.

The Economic Intelligence Unit (EIU) published its Democracy Index (the “Index”) for the year 2022, an edition which generated high expectations for its analysis of the state of global democracy after major lifting of pandemic-related curbs worldwide.

By assessing the scores across five categories – electoral process and pluralism, functioning of government, political participation, political culture, and civil liberties – the Index classifies each country under four types of regimes, namely:

• Full democracy;

• Flawed democracy;

• Hybrid regime; and

• Authoritarian regime

At the 21^st spot, and with an overall score of 8.14, Mauritius enters the rank of “full democracy” and remains the only nation in Africa to fall under this regime. This prime position is testament to how Mauritius emerges as a robust democratic and economic model in the region as it depicts the country faring as well as member countries of the G20 ranked in the Top 20 (Australia, Canada, Germany, Japan and the United Kingdom).

From a more global perspective, the Index which provides a snapshot of the state of democracy worldwide across 165 independent states and two territories further highlights that 72 out of these countries/territories covered can be democracies.

Should you wish to have more information on EIU’s analysis, access the full report here

Starting 9 February 2023, local citizens and foreigners alike can now apply for their Certificate of Character by electronic means in Mauritius. With the existing system becoming less streamlined to handle a surge in the number of applications, the launch of the platform comes at a time where the Government is increasingly looking to bridge the information dissemination gap between the public and the authorities.

The Certificate of Character system which further allows for payment facilities via the credit card payment and debit card can be accessed here

The latest analysis from the 2022 Corruption Perceptions Index (CPI) depicts a gradual decrease in the level of peace globally, a phenomenon largely attributed to most countries losing the fight against corruption. This report from Transparency International ranks 180 countries and territories by their perceived levels of levels of public sector corruption and assigns scores from 0 (highly corrupt) to 100 (very clean).

Seychelles yet again boasts a phenomenal performance by ranking 23^rd globally and scoring 70 points. The nation therefore remains the least corrupt country in Africa.

Indeed, the country has gained 18 points on its score since 2012, reflected through, amongst others, amendments to its Anti-Corruption Act in 2019.

The full CPI can be accessed here

On 10^th January 2023, Henley & Partners released its Passport Index ranking for the first quarter of the year, and as customary, the report provides an overview of the current trends influencing mobility patterns across the World. A combination of datasets from Henley Passport Index and World Bank GDP, this report classifies all 199 passports according to their Henley Passport Power (HPP) score which is indicative of the percentage of global GDP each passport provides to its holders visa-free.

With a strong hold on the first position in Africa, Seychelles ranks at the 29^th spot globally, ahead of Mauritius which witnessed a slight decline on the ranking since the 2022 Q3 (from 31^st to 33^rd).

These rankings entail that Seychelles and Mauritius provide visa-free/visa-on arrival access to 153 and 146 destinations respectively and uphold their titles as the most travel friendly passports on the African continent.

Check out the full report and commentaries here

The Mauritius IFC has time and again proven its worth as a well-regulated and innovative financial centre, gaining momentum through the introduction of highly coveted financial activities, and the ensuing sound regulatory frameworks that govern them.

2018 was considered a turning point within the financial services landscape, where the MIFC was undergoing major legislative changes, and at the same time, consequential efforts were being made to further diversify the sector’s service offering. Amid announcements of new frameworks for Regulatory Sandbox and Custodian of Digital Assets, as well as the phasing out of the GBC2 regime, foraging for opportunities vis a vis global Groups – parent companies with affiliates and subsidiaries – also came to the forefront, and the Government brought to light in its 2018/2019 Budget Speech the introduction of a new type of activity, Global Shared Services, in Mauritius.

At its core, Global Shared Services entail the provision of certain facilities by a regulated financial services company to its related entities – i.e., entities which form part of the same Group as the entity providing Global Shared Services – in an effort to promote centralised business operations and mainstreamed strategies.

In a bid to further push for a more transparent regulation of this type of activity, the FSC released consultation papers in 2019 and on 3 January 2023, the Financial Services (Global Shared Services) Rules 2022 (hereinafter referred to as the “Rules”) came into operation.

We list out in this newsletter the conditions applicable for holders of Global Shared Services licence and the main features of the Rules.

CONDITIONS APPLICABLE FOR AN ENTITY PROVIDING GLOBAL SHARED SERVICES

According to the Rules, a holder of a Global Shared Services licence shall provide for 3 or more of the services described in the Sixth Schedule of the Financial Services Act (the “Act”), listed below, and shall not engage in any other services or activities other than those described in the Schedule:

• Record keeping
• Financial Statements preparation
• Invoicing and Payments of Bills
• Periodic Regulatory fillings
• Administration of Board proceedings
• Tax Support Services
• Debt Collection
• Data Capture and Reporting
• Other services as may be approved by the FSC

The entity must be further incorporated in Mauritius and shall not have any other licence, authorisation, registration or approval under relevant acts, except as approved by the FSC.

The Rules apply to any entity providing Global Shared Services to its related entity which is engaged in the provision of financial services outside of Mauritius.

In addition, the Rules shall not apply to a holder of a Management Licence issued under section 77 of the Act.

OTHER REQUIREMENTS OF THE GLOBAL SHARED SERVICES COMPANY

The above list should not be considered exhaustive as the FSC is liable to impose other conditions, as it deems appropriate, upon the issue of the licence.

Following commencement of the Rules, entities which are already providing Global Shared Services will have until 3 July 2023 to apply for the licence.

You can consult the Rules here for more information.

If you have any question on the Financial Services (Global Shared Services) Rules 2022 or you require assistance in submitting your application, please get in touch with your usual contact person at ITL or write to us on info@intercontinentaltrust.com

ITL Highlights 2022!

This year marks, once again, the success of ITL in the financial services industry. In October 2022, the Private Equity Africa (PEA) Awards – recognising the effort and achievements of companies in the African private equity sector – held their Gala Diner in London where our Chief Executive Officer, Ben Lim, and our Executive Director were present.

ITL has been awarded with the Corporate Financial Award and our CEO, Ben Lim, with the prestigious Advisor Individual Award – the first of its kind – for his contribution to the development of the industry over the last decade.

In the view to celebrate ITL, we hosted a private event in November at La Piazza, Vivea Business Park, Moka. Partners and clients were present for this occasion and we seize this opportunity to thank them for their constant and trusted support in us.

Have a look at our video highlights via the link below:
https://youtu.be/jaxoRNe4DfQ