Global Shared Services in Mauritius

A new regulatory framework to boost the sector’s growth

In January 2023, Mauritius introduced the Global Shared Services Rules, enriching its financial landscape. These new regulations aim to foster the development of this promising sector while strengthening Mauritius’ status as a leading international financial hub. Here’s what you need to know about the topic from C&S Secretarial Services.

Who do these new rules apply to ?

The new rules apply to entities in Mauritius providing global shared services to related entities abroad, particularly in financial services.

These services include a wide range of activities, such as record-keeping, financial statement preparation, invoicing and bill payment, periodic regulatory filings, board administration, tax support, debt collection, data entry and reporting, and other services approved by the Financial Services Commission (FSC) of Mauritius.

Obtaining a license to operate Global Shared Services in Mauritius

To operate legally, entities offering global shared services must obtain a license from the FSC. This licensing process ensures that companies meet the FSC’s stringent standards for financial stability, corporate governance, and risk management.

Operational Requirements

Licensed providers of global shared services must meet several operational requirements:

• Having a board of directors with at least two resident directors in Mauritius.
• Conducting all global shared services activities from Mauritius.
• Opening and maintaining a primary bank account in Mauritius.
• Implementing robust internal controls and risk management policies.
• Securing professional liability insurance suitable for the services provided.

Why has this new Global Shared Services framework been introduced?

The introduction of the Global Shared Services Rules aims to:

Promote the development of the global shared services sector in Mauritius.

By creating a clear and transparent regulatory framework, the Mauritian government aims to attract more international companies to establish their shared services centers on the island.

Strengthen Mauritius’ position as an international financial center.

Developing a vibrant global shared services sector will diversify Mauritius’ financial services offerings and reinforce its status as a premier regional financial hub.

Create jobs and stimulate economic growth.

Establishing global shared services centers in Mauritius is expected to generate skilled jobs and boost local economic growth.

Advantages of shared services centers in Mauritius

Mauritius is an ideal location for setting up shared services centers. Here’s why:

A stable and transparent regulatory environment: The Mauritian government has established a favorable regulatory framework for foreign investment, especially in the financial services sector.

A skilled and multilingual workforce: Mauritius boasts a significant talent pool with a workforce proficient in multiple languages, including English and French.

Modern infrastructure: The island has excellent telecommunications infrastructure and a network of modern facilities to support shared services centers.

Competitive operating costs: The cost of living and doing business in Mauritius is relatively low compared to other countries in the region.

A business-friendly environment: The Mauritian government actively encourages the development of the shared services sector and offers various incentives to foreign investors.

Conclusion

The new Global Shared Services Rules mark a significant step in developing the financial services sector in Mauritius, making the island an attractive destination for international companies looking to establish shared services centers. Contact C&S Secretarial Services to learn about our range of services (company formation, board meeting management, corporate governance, company secretary appointments, registered office provision, and work and residence permit applications) for foreigners looking to set up their businesses in Mauritius.