Mauritius is becoming a new global hub for millionaires

The island nation is attracting record numbers of wealthy investors and is positioning itself as one of the world’s fastest-growing wealth markets. Analysts predict that the number of millionaires in Mauritius could increase by 95% to more than 10,000 by 2033. This rapid growth is being driven by a massive government effort to transform the economy and boost the country’s international image.

A financial oasis with ambitions

Financial Services Minister Jyoti Jitun emphasizes that Mauritius is not an offshore zone, but an "efficient tax jurisdiction." The country's tax system offers a flat income tax of 20%, no capital gains and inheritance taxes, and favorable conditions for international companies. However, independent experts note that about 2.3% of global financial flows to offshore jurisdictions still pass through Mauritius. The "golden visa" program also contributes to the inflow of capital, allowing for the receipt of a residence permit for investments of at least $375,000.

Luxury real estate as an engine of the economy

The luxury real estate sector is the biggest beneficiary of foreign investment. In 2024, it attracted 73% of all foreign direct investment in the country. Prices for luxury apartments in the Grand Bay area reach $5,000 per square meter. Leading construction companies such as Alteo are investing significant amounts in the development of gated resort complexes with private beaches, golf courses and marinas. The largest deal of 2024 was the sale of a six-bedroom villa for $13.6 million to a European family.

Social challenges and infrastructure inequalities

The rapid development of the luxury real estate market is creating new social inequalities. Local residents are facing increasingly unaffordable housing, and young people are leaving the country in search of work. Infrastructure in some areas outside the tourist areas remains poorly developed. Manisha Duhoni from the consultancy Mindex warns of the risk of social fragmentation and suggests the creation of a fund to redistribute part of the income to social programs.

Competition for global capital

Mauritius aims to become a gateway to Africa for international corporations. Deputy Finance Minister Daneshwar Damri has announced plans to attract regional headquarters for multinationals. However, analysts such as Ronak Gopaldas of Signal Risk remain skeptical: they believe Mauritius does not yet have the scale and global connections to compete with global hubs such as Dubai or Singapore. While family offices in Dubai manage trillions of dollars in assets, Mauritius is just beginning its journey to international financial relevance.

Based on materials from prianproperty.com