Mauritius may be emerging as the next hotspot for African millionaires, according to a new study from wealth intelligence firm New World Wealth.
According to New World Wealth, the number of US$ millionaires living in Mauritius has increased by 300% since 2000 to reach 3 200 in 2015, and this number is expected to rise by another 130% over the next 10 years, reaching 7 400 by 2025, making it the fastest growing African market for millionaires over this period.
In line with the rise of wealth on the island, there are several new luxury developments going up, including a particularly interesting new golf estate called Le Parc de Mont Choisy. The houses on this estate are being designed by South African architect Stef Antoni.
See article: Barefoot luxury at Grand Baie golf estate in Mauritius.
There are a number of drivers behind the growth in wealth in Mauritius including:
· Immigration – a large number of wealthy individuals have moved there over the past decade. New World Wealth estimates that over 400 South African US$ millionaires have moved there since 2000.
· Strong economic growth.
· Secure ownership rights.
· It has become a major retirement destination.
· Low taxes which encourage business formation and appeal to retirees. Company and personal income tax rates are only 15%, with no inheritance or capital gains tax.
· Automatic citizenship if one buys a US$500 000+ home in the country.
· A thriving and growing financial services sector, particularly in offshore banking, fund management and private banking.
· Low level of government regulation in the business sector (when compared to nearby countries such as South Africa which has exchange controls, high taxes, big trade unions and BEE hiring requirements).
· Lifestyle – beaches, weather and scenery.
· Low crime rate