Channeling investment into the African continent through the Mauritius-Africa Fund

Mauritius through the Mauritius-Africa Fund, aims at positioning itself as a secure platform with a strong value proposition for channeling investment into the African continent.

The Prime Minister, Mr Pravind Kumar Jugnauth highlighted, in the National Assembly on the 12 July, that the Fund has been revised since 2015 with a view to have a bigger impact on facilitation of Mauritian private sector investment in Africa.

The three broad objectives under this revised mandate are:

  • The promotion of a G-to-G framework of cooperation through Memoranda of Understanding (MoU) signed with foreign African Governments to secure projects for the benefit of Mauritian businesses;
  • The development, promotion and management of business infrastructure such as Special Economic Zones, Business and Technology Parks and Industrial Zones in selected countries to reduce the barriers of entry and provide a secure business environment for our domestic enterprises; and
  • The adoption of innovative approaches for mobilizing funds, from both institutional and private sources, for Mauritian Firms to invest in Africa.

The Prime Minister recalled that under the new mandate, the Mauritius-Africa Fund has negotiated and signed four MoUs to develop Special Economic Zones in Senegal, Cote d’Ivoire, Ghana, and Madagascar.

In Senegal, the Fund has invested 51 million Franc CFA (Rs 3,733,200) for 51% of the shares in Société des Infrastructures d’Affaires Atlantic S.A., incorporated in Senegal.

In Cote d’Ivoire, Mauritius-Africa Fund has negotiated preferential access for Mauritian firms to invest in the construction of a Cyber Tower, twin administrative towers, a business hotel and an aqua park within the Technology Park in Grand Bassam.

In Ghana, the Fund will invest 1,194,000 Ghanaian Cedis (Rs 9.8 million) in the share capital of Ghana Smart City Ltd, a joint venture with the Government of Ghana. 

In Madagascar, the Malagasy Government has identified 80 hectares of land for the Mauritius-Africa Fund to develop a “Zone Economique Speciale” in Fort Dauphin.

The Prime Minister added that the Mauritius-Africa Fund is in the process of investing one million US Dollar to acquire 50% of the share capital in the Africa Infrastructure Investment Holdings Company Ltd, a joint venture with the SBM Holdings. The joint venture Holding Company will provide the seed capital in a new dedicated Fund with the aim of raising up to 200 million US Dollars mainly for Mauritian companies to invest in infrastructure projects in Africa.

He also announced that the Fund is signing a MoU with the Fonds Solidarité Africain to provide funding at concessional rates to Mauritian firms to invest in Africa.

Source: GOV.mu