Mauritius: a leading financial centre for investment funds
Over the past three decades, Mauritius has established itself as one of the most attractive jurisdictions in the world for domiciling investment funds. Thanks to a robust regulatory framework supervised by the Financial Services Commission (FSC), competitive taxation and a strategic geographic position between Africa and Asia, the country today hosts more than 900 active investment funds representing tens of billions of dollars in assets under management.
Whether you are an established fund manager looking to diversify your structures, a family office seeking to optimise your cross-border investments, or an entrepreneur raising capital to invest on the African continent, Mauritius offers a complete and proven ecosystem.
The legal framework rests on the Securities Act 2005, the Financial Services Act 2007, the FSC Rules specific to CIS and CEF, and the Companies Act 2001 inspired by English commercial law. This legislative architecture offers legal certainty comparable to the major financial centres while maintaining a flexibility and responsiveness that more bureaucratic jurisdictions cannot match.
Why choose Mauritius for your investment fund?
An internationally recognised regulatory framework
The Mauritius FSC is a member of IOSCO (International Organization of Securities Commissions) and applies international standards in the regulation of financial markets. The regulator oversees the entire fund industry, from licensing through ongoing compliance monitoring to on-site inspections.
The regulator has significantly strengthened its requirements since 2019, particularly regarding economic substance, anti-money laundering and fund governance. This increased rigour allowed Mauritius to exit the FATF grey list in 2021 and maintain its position on the European Union's whitelist.
Optimised and transparent taxation
| Tax element | Applicable regime |
|---|---|
| Nominal tax rate | 15% |
| Deemed Foreign Tax Credit (80%) | Effective rate of 3% (subject to economic substance conditions) |
| Withholding tax on dividends | 0% |
| Capital gains tax | 0% |
| Inheritance tax | 0% |
| Tax treaties | 45 treaties in force (MRA, 2026) |
| TRC (Tax Residency Certificate) | Available to invoke treaties |
Key advantage: Unlike zero-tax jurisdictions (Cayman Islands, BVI), Mauritius issues tax residency certificates (TRC) allowing it to invoke its 45 double-taxation treaties in force (MRA, 2026). This is a decisive advantage for reducing withholding tax on investment income from Africa, India and Asia. Discover the Mauritian tax regime in detail.
A unique strategic position
Mauritius is the natural bridge between Africa, India and South-East Asia. The country is a member of SADC (16 countries, 380 million inhabitants), COMESA (21 countries, 560 million inhabitants), the AfCFTA (54 countries, 1.4 billion inhabitants) and the ACP group with preferential access to the European Union. The CECPA signed with India in 2021 further strengthens the Mauritius-Asia axis. Mauritius has thus established itself as a genuine financial hub for Africa.
The four CIS categories in Mauritius
The Securities Act 2005 and the FSC Rules define four categories of Collective Investment Schemes, each suited to a specific investor profile and strategy.
| Category | Target investors | Minimum ticket | Regulation | Approval timeframe |
|---|---|---|---|---|
| CIS Global | General public | None | Strict: prospectus, mandatory diversification, weekly NAV | 6-10 weeks |
| CIS Professional | Qualified investors | USD 100,000 | Lighter: PPM, investment flexibility | 4-6 weeks |
| CIS Specialized | Depending on strategy | Variable | Tailored: real estate, Islamic, fund of funds | 4-8 weeks |
| CIS Expert | Sophisticated investors | USD 100,000 | Minimal: accelerated process, high flexibility | 2-4 weeks |
Closed-End Funds (CEF)
Closed-end funds are particularly well suited to private equity, venture capital and infrastructure investment strategies. They offer a flexible structure with fixed capital, progressive capital calls, a defined lifespan (7-12 years) and customisable carried interest and waterfall mechanisms. They can be structured as a Limited Partnership, Company or Trust. For multi-compartment strategies, the Protected Cell Company (PCC) offers legal segregation of assets between cells, while the Variable Capital Company (VCC) provides additional flexibility in capital management.
Learn more about CIS and Closed-End Funds
Our services for investment funds
CIS & Closed-End Funds
Structuring, obtaining the FSC licence and launching your open-ended or closed-ended fund. Selection of the optimal category, drafting of the PPM, incorporation of the company and coordination with the regulator.
Fund administration
Complete administration services: investor register (transfer agency), processing of subscriptions and redemptions, FSC regulatory reporting, coordination with the custodian and the auditor.
Accounting & NAV
Calculation of net asset value under IFRS standards, valuation of level 1 to 3 assets, IFRS 9/13 accounting, preparation of audited financial statements and investor reporting.
Compliance & AML
Complete AML/KYC programme, FATCA and CRS, international sanctions screening, economic substance, outsourced MLRO service and assistance during FSC inspections.
Services for managers
Obtaining the CIS Manager licence, operational set-up in Mauritius, recruitment, offices, compliance and ongoing regulatory support.
The process of setting up a fund in Mauritius
Setting up an investment fund in Mauritius follows a structured four-phase process, spread over 4 to 8 weeks depending on the complexity of the structure.
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Structuring (weeks 1-2)
Analysis of the investment strategy and selection of the optimal legal structure (CIS Global, Professional, Specialized, Expert or CEF). Definition of governance (board, investment committee), selection of service providers (administrator, custodian, auditor) and preparation of the business plan with financial projections.
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Legal documentation (weeks 2-4)
Drafting of the Private Placement Memorandum (PPM) or prospectus, preparation of the Subscription Agreement and subscription documents, drafting of the fund's Constitution (articles of incorporation or deed of trust), preparation of the Investment Management Agreement and service contracts with each provider.
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FSC licence (weeks 3-6)
Filing of the licence application with the FSC together with the complete file. In-depth due diligence on promoters, managers and directors (fit and proper test). Review of the documentation by the FSC, any exchanges, and obtaining the licence with registration of the fund.
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Operational launch (weeks 6-8)
Opening of bank accounts and setting up treasury. Configuration of administration and accounting systems. First capital call (CEF) or first subscription (CIS). Start of investment activities and first reporting to investors.
Mauritius vs other jurisdictions for funds
The choice of domiciliation jurisdiction is a strategic decision that impacts taxation, costs, market access and the fund's credibility with investors.
| Criterion | Mauritius | Luxembourg | Cayman Islands | Singapore |
|---|---|---|---|---|
| Effective tax rate | 3% (subject to conditions) | 0-29% | 0% | 17% |
| Tax treaties | 45 | 80+ | 0 | 90+ |
| TRC available | Yes | Yes | No | Yes |
| Africa access | Excellent (SADC, COMESA) | Limited | None | Limited |
| India access | Bilateral treaty + CECPA | Bilateral treaty | None | Bilateral treaty |
| AIFMD/UCITS passport | No | Yes | No | No |
| Setup timeframe | 4-8 weeks | 3-6 months | 2-4 weeks | 4-8 weeks |
| Average annual cost | USD 25-50K | USD 100-300K | USD 50-100K | USD 50-150K |
| EU whitelist | Yes | Yes (EU) | No | Yes |
Multi-jurisdictional structures: Many managers combine Mauritius with other jurisdictions: Mauritius + Luxembourg (AIFMD feeder + master fund), Mauritius + Cayman Islands (US investors + Africa/India), Mauritius + Singapore (Africa coverage + South-East Asia).
Regulatory framework and compliance
Mauritius maintains an exemplary balance between attractiveness and regulatory compliance. The country is fully committed to tax transparency and the fight against money laundering, applying the full range of international standards.
FATF
Compliance with the 40 recommendations of the Financial Action Task Force. Exited the grey list in October 2021 after strengthening AML/CFT mechanisms.
FATCA & CRS
IGA Model 1 agreement with the United States. Automatic exchange of tax information with 100+ jurisdictions via the OECD's Common Reporting Standard.
BEPS & Pillar Two
Application of the OECD's base erosion and profit shifting measures. Minimum tax of 15% for multinationals (EUR 750M+ turnover) since 2024.
Economic substance
Strengthened requirements since 2019: qualified personnel in Mauritius, offices, board meetings, proportionate operating expenditure and local decision-making.
Discover our compliance services for funds
A comprehensive financial services ecosystem
Mauritius has a mature ecosystem to support the investment fund industry, with a unique concentration of financial service providers in a compact territory.
- International banks — HSBC, Absa (formerly Barclays), Standard Chartered, Investec, AfrAsia, MCB, SBM: multi-currency accounts, custody, trade finance
- Audit firms — All Big Four firms (Deloitte, EY, KPMG, PwC) are present with teams dedicated to funds
- Law firms — Firms specialised in fund law, financial law and international structuring
- Fund administrators — More than 20 FSC-licensed administration companies, from boutiques to international groups
- Custodians — Custody services offered by major local and international banks
- Management Companies — 150+ FSC-licensed companies for registered agent and corporate secretarial services
Ready to launch your fund in Mauritius?
Our team of fund structuring specialists supports you from conception to the operational management of your investment vehicle. Expertise in Mauritian law, in-depth knowledge of FSC requirements, and a network of trusted service providers for a smooth process compliant with the best international standards.