Is Rwanda a real threat to Mauritian jurisdiction? | New times

Mauritius is closely monitoring the development of the Kigali International Financial Center (KIFC) in Rwanda.

Indeed, the development of the Rwandan IFC is seen as the emergence of a serious competitor to the Mauritian IFC itself since for a long time, Mauritius has established itself as the jurisdiction of choice for investments in Africa. Rwanda and Mauritius have both, in recent years, shared Africa’s top rankings for ease of doing business.

The two countries also share a friendly working relationship which builds on their competitive advantage in this regard and have entered into a Double Taxation Agreement (DTA) since 2014.

The DTA was intended to promote commerce, trade and general business between the two nations which in fact also signed an Investment Promotion and Protection Agreement (IPPA) in 2001. The IPPA is not yet in operation. force.

Is this emergence of Rwanda a real threat for the Mauritian jurisdiction? Is Mauritius going to lose its clients to Rwanda? These are legitimate questions.

Our partners from DLA Piper Africa (Mauritius and Rwanda) express themselves on this debate:

Marc Hein, Senior Advisor and President

DLA Piper Africa, Mauritius (Juristconsult Chambers). Photos: courtesy.

“It is our duty to take care of our clients and provide them with the best legal services available. We have been providing legal advice to our clients using Mauritian jurisdiction for a long time and if some of these clients are now turning to Rwandan jurisdiction and are considering attending there it is our duty to help them.

Rwanda’s IFC can be seen as a competitor but it can also be seen as complementary to what Mauritius offers and in any event Mauritius service providers need to make the most of the situation. Better to swim with the tide than against it.

Nicolas Richard, Lawyer and Managing Partner

DLA Piper Africa, Mauritius (Juristconsult Chambers)

“Many Mauritian IFC service providers are setting up branches or subsidiaries in Kigali and there will be interest in Rwanda, either for direct investments in Rwanda or for others who could set up a Rwandan company for invest elsewhere in Africa. We have a large clientele with multinationals working in Africa and we are ready to advise on cross border transactions in Mauritius and Rwanda.

Calvin Mitali, partner

DLA Piper Africa (Equity Juris Chambers)

“The KIFC is developing Kigali so that it becomes a leading financial center, stimulating investment and business in Rwanda and in Africa as a whole, so it is undoubtedly that it will become in the near future a gateway to entry to Africa.

Moïse Kiiza, partner

DLA Piper Africa (Equity Juris Chambers)

“Rwanda has concluded an exceptional number, namely 24 double taxation agreements offering a secure, advantageous and transparent tax framework to foreign investors. In addition, KIFC complies with international legal and regulatory standards which guarantee legal certainty and improve the pro-business environment already present.

Thelma J. Longworth

Leave a Reply

Your email address will not be published.