Mauritius has closed its borders for one week. Courtesy Xavier Coiffic
Mauritius has closed its borders for one week. Courtesy Xavier Coiffic
Mauritius has closed its borders for one week. Courtesy Xavier Coiffic
Mauritius has closed its borders for one week. Courtesy Xavier Coiffic

Mauritius closes borders and suspends all incoming flights for one week


Selina Denman
  • English
  • Arabic

Mauritius has suspended all incoming flights for a period of one week.

Effective from midnight this past Saturday, no passengers are allowed entry or to transit through the Republic of Mauritius or its outer island of Rodrigues. The decision came after a meeting of the country's National Covid-19 High Powered Committee and was circulated by the Mauritius Tourism Promotion Authority.

The Indian Ocean nation has also extended its quarantine regulations so that all passengers entering Mauritius until May 31 will have to complete a 14-day mandatory quarantine upon arrival. Mauritius has so far implemented a rigorous monitoring regime to keep the island safe: all arrivals to the island are required to undergo a 14-day quarantine, combined with a pre-departure PCR test, arrival test and follow-up tests on days seven and 14 of their stay.

News of the border closure comes as a surprise, as Mauritius has been pitching itself as a safe haven from the pandemic. It launched its Premium Visa initiative in November, which allows tourists, retirees and professionals who are able to work remotely to stay on the island for up to a year.

According to Mauritius Tourism Promotion Authority, the long-stay visa was launched “to meet the growing demand from international visitors looking to relocate to the Covid-secure island for work, leisure or retirement”. The destination had also previously communicated plans to allow tourists who have been vaccinated to enter the country freely.

Mauritius has a vaccination programme underway and is prioritising healthcare workers, the elderly and about 25,000 islanders who work in the tourism industry. There has been relatively little disruption to daily life in Mauritius as a result of the pandemic, with very few known cases of community transmission.

The country's border closure comes days after its fellow Indian Ocean destination, the Seychelles, announced that it will completely reopen its borders to international visitors, irrespective of their vaccination status, on Thursday, March 25.

The Seychelles has embarked on an aggressive vaccination drive. Courtesy Dan Maisey / Unsplash
The Seychelles has embarked on an aggressive vaccination drive. Courtesy Dan Maisey / Unsplash

Sylvestre Radegonde, the Seychelles' minister for foreign affairs and tourism, announced in a press briefing that there will be no quarantine requirements or movement restrictions for travellers to the Indian Ocean archipelago.

The only requirement is that all visitors will need to present a negative PCR test, taken 72 hours prior to arrival. They will then need to adhere to public health measures currently in place in the country, which include wearing faces masks and social distancing in public.

The only visitors exempt from these new rules are those from South Africa, who will not be permitted to enter the Seychelles until further notice.

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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