Crystal-clear waters, splendid white beaches and luxurious ressorts – these are usually the things associated with Mauritius. Far away from the world’s major markets and sources, the island nation in the Indian Ocean seems more of a touristic center of recreation than an international business hub. However, in recent years, Mauritius has come a long way in implementing its vision: transforming the island into a regional hub for information and communication technology (ICT).
The economic success of Mauritius – characterized by an average growth rate of five percent during the last 20 years – is attributed to the four traditional pillars of its economy: sugar, textile, tourism and finance services. In the past, the Mauritian government has protected the few dominant domestic players (Mauritian companies who had a pre-colonial oligarchy) by favoring them and excluding foreign companies. This was to the disatvantage to the development of entrepreneurship. Mauritius had to overcome this colonial legacy by adopting a new mindset.
Confronted with the effects of globalization, 9/11, and, in particular, the drop in sugar prices, Mauritius had to realize that the traditional pillars were not robust enough to foster future progress and growth. Mauritius transited into a post-industrial age which resulted in the island becoming less competitive in textile and sugar ...
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