BANKING SYSTEM OF MAURITIUS

Mauritius has a relatively sophisticated banking sector with 11 domestic banks and 12 offshore banks. Of the 11 domestic banks, five are local banks and two are foreign-owned but incorporated locally. The remaining four operate as branches of foreign banks. Two Mauritian banks, namely the Mauritius Commercial Bank Ltd and the State Bank of Mauritius Ltd, account for about 75% of the market share. Both banks are among the 10 largest banks in Africa. Large foreign banks present in Mauritius include the HSBC and Barclays Bank. The Bank of Mauritius, the central bank, carries out the supervision and regulation of banks as well as non-bank financial institutions authorized to accept deposits.
The banks focus mostly on trade financing and on provision of working capital. Accounts may be opened in all major currencies as well as the Mauritius Rupee. Several commercial banks offer card-payment services such as credit and debit cards and direct debits. Other facilities such as phone banking, home banking, internet banking, and PC banking are also provided by some banks. Commercial banks offer spot and forward transactions in all major currencies.
Commercial banks have diversified into non-banking business through subsidiaries and affiliates. Banks are engaged in the provision of leasing, stock brokering, asset and fund management, investment and private banking business, insurance agency, portfolio as well as custodial management. As of October 2004, commercial banks' total assets amounted to close to $6.2 billion.
The Bank of Mauritius started licensing offshore banks in the early 1990s. By the end of 2004, there were 12 offshore banks operating in the global business sector.
Offshore banks have to be a branch or related corporation of a foreign bank of established reputation, or a bank incorporated in Mauritius. As part of a drive to modernize the banking sector, the government passed a new Banking Act in September 2004, which puts an end to the distinction between domestic and offshore banks. The new system will allow offshore banks to do business in local currency. Offshore banks are engaged in a wide range of internationally based business, including private banking, deposit-taking and lending, foreign exchange trading, fund management, investment advisory services, trade financing, trusteeship of offshore trusts, and securities custodial services.

Financial Institutions Operating

The following is an official list of banks holding a Banking License, institutions other than banks which are authorized to transact deposit-taking business and authorized money - changers and foreign exchange dealers in Mauritius and Rodrigues as at 31 January 2005.
Banks licensed to carry banking business:

1. Bank of Baroda
2. Banque Des Mascareignes Ltee
3. Barclays Bank PLC
4. Deutsche Bank (Mauritius) Limited
5. First City Bank Ltd
6. Habib Bank Limited
7. Indian Ocean International Bank Limited
8. Investec Bank (Mauritius) Limited
9. Mascareignes International Bank Ltd
10. Mauritius Post and Cooperative Bank Ltd
11. P.T Bank Internasional Indonesia
12. RMB (Mauritius) Limited
13. SBI International (Mauritius) Ltd.
14. SBM Nedbank International Limited
15. South East Asian Bank Ltd
16. Standard Bank (Mauritius) Offshore Banking Unit Limited
17. Standard Chartered Bank (Mauritius) Limited
18. State Bank of Mauritius Ltd
19. The Hongkong and Shanghai Banking Corporation Limited
20. The Mauritius Commercial Bank Ltd
Non-Bank Financial Institutions Authorised to Transact Deposit-Taking Business
1. ABC Finance & Leasing Ltd.
2. Barclays Leasing Company Limited
3. Capital Leasing Ltd
4. Finlease Company Limited
5 General Leasing Co. Ltd.
6. Global Direct Leasing Ltd
7. La Prudence Leasing Finance Co. Ltd
8. Mauritius Housing Company Ltd
9. Mauritian Eagle Leasing Company Limited
10. MUA Leasing Company Limited
11. SBM Lease Limited
12. SICOM Financial Services Ltd
13. The Mauritius Civil Service Mutual Aid Association Ltd
14. The Mauritius Leasing Company Limited