Mauritius, a well-established international financial center (IFC), holds a geographically strategic position between Asia and Africa. With its political stability, sound legal framework, and robust regulatory system, the country has long played the role of a trusted investment gateway into African and Asian markets. Yet, to remain competitive in an increasingly sophisticated global financial landscape, Mauritius must now enhance its service offering. One promising opportunity lies in developing a niche as a premier private banking hub. Drawing inspiration from Dubai's meteoric rise as a global financial powerhouse in the last twenty years, we examine how Mauritius can build a sustainable, high-value private banking ecosystem by learning from Dubai's experience.

Understanding Private Banking and Mauritius’s Current Position

Private banking involves tailored financial and wealth management services provided to high-net-worth individuals (HNWIs) and ultra-high-net-worth individuals (UHNWIs). Services typically include investment advisory, estate and succession planning, tax structuring, philanthropy advisory, and bespoke credit arrangements.

Mauritius is already well-positioned to support private banking activities. It boasts a mature offshore financial services sector, alignment with international norms and regulatory standards such as those of the OECD and FATF, and a bilingual, educated, and skilled workforce. The country is also supported by advanced ICT infrastructure and a responsive business environment. Some of the local banks, including MCB, Absa Bank, and Bank One, are already active in private banking. However, to evolve into a true private banking hub, Mauritius must address existing gaps. As a first step, and to have better credibility as a Financial Centre, at least one local bank should partner with a global private bank for improved brand presence – both for the bank itself and to attract customers, both domestically and from target countries. In addition, Mauritius should attract a few global private banks to build an attractive private banking ecosystem.

Dubai’s Rise: Strategic Pillars for Success

Dubai's transformation from a modest trading center into a global wealth management and private banking hub was deliberate and strategically executed. Several critical pillars underpinned its success. One of the most significant moves was the establishment of the Dubai International Financial Centre (DIFC) in 2004. DIFC introduced a bespoke legal system based on English common law, while the Dubai Financial Services Authority (DFSA) provided independent and robust regulation. This dual-system approach offered legal clarity and boosted investor confidence, encouraging global financial institutions to establish themselves in Dubai.

Dubai also provided strong incentives to attract international private banks, asset managers, and law firms. Flexible licensing structures, tax breaks, and a simplified business environment enabled top-tier institutions like Citi Bank, HSBC Private Bank, Lombard Odier, Bank of Singapore, Société Générale, JP Morgan Private Bank, and Julius Baer to set up regional headquarters in DIFC.

Crucially, Dubai did not isolate financial services from lifestyle appeal. The city cultivated a luxurious ecosystem with high-end residences, premium shopping, world-class healthcare, and international schools. These offerings, coupled with business-friendly visa and residency programs, attracted both financial professionals and HNWI families. Dubai’s geographic position also played a pivotal role. It capitalized on being a natural crossroads between Europe, Africa, and Asia. The global connectivity of Emirates Airlines and the establishment of Dubai as a major airline hub, along with world-class transport infrastructure, further solidified Dubai’s role as a global gateway. Importantly, Dubai focused on specific markets where wealth was rising but underserved. Its deep relationships with the GCC, India, and parts of Africa allowed it to tailor services to regional clients. Dubai also facilitated the establishment of family offices by offering simplified legal structures and tax incentives within the DIFC, thereby institutionalizing private wealth in its jurisdiction.

Adapting the Dubai Playbook to Mauritius

Mauritius could follow Dubai’s strategic trajectory, but on a smaller, more agile scale. The country should aim to develop as a boutique, high-trust jurisdiction for private wealth, emphasizing precision, service excellence, and regional proximity.

The first step is establishing a globally recognized Mauritius IFC brand. While Mauritius is known in niche circles, it lacks the international visibility of Dubai or Singapore. A coordinated branding campaign, supported by the Economic Development Board (EDB) or even establishing a specialized marketing entity for Financial Services and key private sector players, should highlight tax neutrality, compliance with global standards, political stability, and cultural affinity with Africa and Asia.

To attract global and boutique financial players, Mauritius needs to offer strong incentives. These could include fiscal benefits, fast-track licensing, and plug-and-play office space in emerging financial districts such as Ebene and Moka. It is also crucial that at least one or two globally established international private banks are encouraged to set up in Mauritius – either directly or via partnerships with local banks – to lend credibility and momentum to the sector. At the outset, the local banks with severe limitation in private banking expertise, can also explore offering products from established global players, who may be willing to provide their products under white labeling, i.e. the customers would be getting the global products of such select private banks who would be in the back ground. This would help in meeting the current deficiency in local expertise in private banking.

A key success factor is the development of a lifestyle and residency ecosystem that aligns with HNWI expectations. Mauritius should invest in expanding international schools, upgrading healthcare services, and developing luxury gated communities. Immigration frameworks such as the Premium Investor Visa must be redesigned to attract family offices and financial professionals.

In terms of market focus, Mauritius must target key African countries that present strong potential for private banking services. Kenya and Nigeria, for instance, are two of the largest HNWI markets in sub-Saharan Africa, with increasing demand for estate planning and cross-border structuring. South Africa, with its large pool of HNWIs, is facing rising capital flight, and its wealthy citizens are looking for stable, offshore alternatives. Ghana, Angola, and Mozambique represent newer markets with natural resource-based wealth. Additionally, Mauritius can leverage its bilingual capabilities and civil law foundation to serve Francophone Africa – including countries like Ivory Coast, Senegal, and Cameroon.

According to the 2024 Africa Wealth report published by wealth advisory firm Henley & Partners, the total investable wealth currently held on the African continent amounts to USD 2.5 trillion and its millionaire population is set to rise by 65% over the next 10 years. Currently there are 135,200 high-net-worth individuals (HNWIs) with liquid investable wealth of USD 1 million. As per the report, South Africa remains home to over twice as many HNWIs as any other African country, with 37,400 millionaires, 102 centi-millionaires, and 5 billionaires, followed by Egypt with 15,600 millionaires, 52 centi-millionaires, and 7 billionaires. Nigeria sits in 3rd place with 8,200 HNWIs, followed by Kenya (7,200 millionaires), Morocco (6,800), Mauritius (5,100), Algeria (2,800), Ethiopia (2,700), Ghana (2,700), and Namibia (2,300) all making it into the Top 10 Wealthiest Countries in Africa. Over the next decade (to 2033), the likes of Mauritius, Namibia, Morocco, Zambia, Kenya, Uganda, and Rwanda are all expected to experience 80%+ millionaire growth. Mauritius, with its stable governance and favorable tax regime, is projected to experience a remarkable 95% growth rate, positioning it as one of the world’s fastest-growing wealth markets.

Given the rising influence of digital wealth, Mauritius should aim to create a digital-first private banking model. This would include digitised onboarding and eKYC, support for tokenised assets and blockchain platforms, and licensing of AI-powered robo-advisory services. The Bank of Mauritius and the Financial Services Commission (FSC) could collaborate to create a fintech sandbox dedicated to private wealth innovation.

Talent remains a critical enabler. Mauritius must build a talent pool equipped for private banking, fiduciary services, family governance, and cross-border tax planning. Partnerships with global training bodies can be formed to upskill local professionals. Additionally, identifying global talents as also diaspora professionals can help fill senior-level roles.

Comparative Advantages of Mauritius

Mauritius possesses several innate advantages that bolster its potential to become a private banking hub. It is a stable democracy with a sound legal framework, offering a high degree of investor protection. Its bilingual workforce is attuned to the financial cultures of both Africa and Asia. Furthermore, Mauritius provides a suite of financial products – trusts, foundations, global business companies, and funds – that cater well to private wealth structures. The jurisdiction also offers a transparent and low-tax regime, with no capital gains tax or estate duty, and competitive corporate and personal tax rates. These features make it particularly attractive to African HNWIs seeking confidentiality, asset protection, and global diversification.

Challenges and Risk Factors

Despite its strengths, Mauritius must overcome several obstacles to fully realise its private banking ambitions. Reputation risk remains an issue, especially following past grey listings by the FATF and EU. Continued reforms and international engagement are necessary to maintain and enhance credibility.

The country’s limited domestic HNWI base means it must rely on foreign client acquisition. Unlike Dubai, it does not have a large internal market to support private banking growth.

Infrastructure also requires significant improvement. Mauritius must invest in real estate, healthcare, and education to match the expectations of international clients.

Regulatory bottlenecks – particularly around immigration, licensing, and product development – must be resolved quickly. A more agile public-private framework can ensure Mauritius remains responsive to global trends and investor needs.

Mauritius also has major shortage of trained professionals in private banking. While local talent will take time to evolve, Mauritius has to depend on attracting talent from other centers.

A Blueprint for Action

Mauritius has the right ingredients to become a boutique, trusted, and strategically positioned private banking hub for Africa and the Indian Ocean. Learning from Dubai, the country should focus on creating a branded financial district with regulatory independence. It must simplify laws and introduce bespoke structures to attract family offices and manage cross-border wealth.

Investing in the HNWI lifestyle ecosystem – spanning housing, education, healthcare, and culture – is vital. Mauritius should also embrace fintech innovation to build a digital-first private banking platform tailored to emerging market clients.

Market penetration in key African and Indian Ocean region should be deepened through roadshows, bilateral agreements, and client acquisition campaigns. By adopting a targeted, high-value, and innovation-driven approach, Mauritius can cement its place as the preferred jurisdiction for private wealth planning, investment migration, and intergenerational legacy building in the region.

Conclusion: A Call to Action

Mauritius is uniquely positioned to emerge as the boutique private banking hub for Africa and the Indian Ocean. It has the regulatory credibility, geographic proximity, and cultural alignment to serve the continent’s rising class of wealth creators and business families.

By drawing from Dubai’s strategic ecosystem play Mauritius can carve out a distinctive niche: a jurisdiction where trust, innovation, and bespoke service converge.

With coordinated public-private action, investment in lifestyle and talent, and a clear branding strategy, Mauritius can offer a compelling alternative to traditional private banking centers – and define the future of wealth management in the region.

Further, with the industrialization of Africa, the African promoters would be requiring equity capital apart from debt funding. Mauritius can become a complete financial center by becoming a fulcrum for funding debt and equity for African corporates. It can focus to become a stock exchange for listing of bonds for African market (besides the enormous opportunity for becoming the debts for Indian corporates for which it enjoys a treaty advantage) and equity. All these additional steps will go a long way in making Mauritius a strong financial center focused on Africa.