Invest in rentals as doors open to more expatriates in Mauritius

The time is right to invest in rentals in Mauritius, especially on properties suited for expats. The country is adopting new measures to bring in more expatriates to Mauritius to contribute to the island’s economic growth.

The Minister of Finance, Economic Planning and Development, Dr Renganaden Padayachy, disclosed these new measures on June 4, 2020. In his speech on Mauritius’s 2020-2021 Budget, he said these initiatives were necessary because the country’s population is ageing and declining.

Minister Padayachy, addressing the National Assembly, noted that the population of Mauritius declined in 2019, the first drop in more than 50 years. He said that if this trend continues, the country’s population will shrink by over 200,000 between 2020 and 2050.

Filling the manpower, talent gap

“We have to counter the adverse impact of this trend,” said Minister Padayachy. “Economic growth should not be hindered by lack of labour. We have no choice but to open ourselves to talents, ideas and knowledge.”

The government is adopting several policies to achieve these objectives, which are geared at attracting more foreign investors and expatriates. One new measure removes the minimum investment and turnover requirement for an Innovator Occupation Permit. This permit for individuals or companies in certain R&D sectors formerly required an initial investment of USD40,000. These sectors include life and health sciences, ICT, fintech, biotechnology, nanotechnology, pharmaceuticals and design.

The minimum investment amount for other occupation permits has been halved from USD100,000 to USD50,000. Holders of these permits for three consecutive years can apply for a Permanent Residence Permit. The government is also extending the Permanent Residence Permit validity from 10 to 20 years.

G+2 apartment rental hot spots

Prospective rental property investors in Mauritius can tap into the G+2 real estate scheme. This is the latest government programme to attract foreign investors to local real estate developments. It covers apartments in condominiums with at least two floors above ground. There is no limit to the number of units a foreign buyer can purchase under this scheme.

There are already about 15,000 to 25,000 expatriates in Mauritius. The most desirable residential areas for expats include Grand Baie, Pereybere, and Tamarin.

Aspiring real estate investors have several choices of property developments here. Prominent projects are those by 2Futures, the no. 1 real estate developer in Mauritius. Ocean Grand Gaube is one of its latest projects in Grand Baie. It is a G+2 project, well suited for expatriates in Mauritius.

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