General

The completion ceremony of the slope treatment project of the B104 highway in Mauritius, which was contracted by the 9th Hydropower Bureau of China Power Construction, was held on November 28, 2022, and the Prime Minister of Mauritius Jagnat unveiled the completion of the project; On December 8, the main body of the Mauritius Port Louis Cruise Terminal Building project contracted by CRBC was completed; On December 16, the Mauritian RMB clearing bank service was officially launched... From infrastructure to the financial sector, China and Mauritius continued to promote practical cooperation in various fields, with rich results.

The year 2022 marks the 50th anniversary of the establishment of diplomatic relations between China and Mauritius. For half a century, the two countries have respected each other, supported each other and vigorously developed international trade and economic cooperation, setting a model for developing mutually beneficial and win-win economic and trade cooperation in Africa.

Establish RMB clearing mechanism

China and Mauritius have deepened their cooperation in the financial field, and Mauritius has become an important platform for China and African countries to carry out offshore RMB business. On December 16, 2022, the Mauritian RMB clearing bank service was officially launched. The launch of the RMB clearing bank service in Mauritius is very important for the economic development of Mauritius and will make international trade transactions between the two countries more convenient.

The rapid development of BOC's international settlement business in Mauritius has contributed to the development of China-Maori economy and trade. Statistics show that in the whole year of 2021, Bank of China (Mauritius) Co., Ltd. completed international settlement business of 2.504 billion US dollars, a new high since the founding of the Bank. From January to October 2022, the bank's international settlement business volume reached US $2.491 billion, up 22.47% year on year, and is expected to reach US $3 billion in 2022.

The international influence of the RMB has become increasingly apparent and plays a very important role in the global monetary system. The establishment of the RMB clearing mechanism will further facilitate the settlement of the domestic currency of the bilateral international trade between China and Mauritius, effectively improve the quality of the capital circulation, and efficiently flow labor, technology, talent and other factors, creating new opportunities for the development of the financial institutions of the two countries. Li Lianhong, President of the Mauritius Branch of the Bank of China, said that in the future, China and Mauritius will deepen cooperation in the financial field and promote new development of bilateral relations.

Undertake infrastructure construction

As a transit point to the African continent, the expansion of ports and airports in Mauritius is a key development project of its government. Chinese enterprises are actively participating in the construction or investment of these projects. At present, there are about dozens of Chinese enterprises carrying out cooperation in infrastructure fields such as roads, water pipelines and communications in Mauritius. Chinese enterprises have shown a good trend of development in contracting projects and infrastructure cooperation in Mauritius.

In 2022, the projects undertaken by Chinese enterprises in Mao were completed in succession. On December 8, the main body of the Mauritius Port Louis Cruise Terminal Building project undertaken by CRBC was completed. During the construction of the project, Chinese enterprises overcame the difficulties caused by the COVID-19 and promoted the construction in an orderly manner. As one of the key projects in the "Vision 2030" plan of the Mauritian government, the completion of the Port Louis Cruise Terminal Building project will enhance the external image of the Mauritian tourism industry and help the local economic recovery.

The slope treatment project of B104 Highway, the main traffic road in Mauritius, undertaken by the 9th Hydropower Bureau of China Power Construction Corporation, was also completed on November 28. After the project is officially put into use, it will effectively connect many famous scenic spots and regions nearby, promote the revival and vigorous development of local tourism in Mauritius, effectively ensure the travel safety of local residents and vehicles, further improve the local traffic accessibility, promote the local industrial layout, adjust and optimize the local investment environment.

Negotiate multilateral and bilateral free trade agreements

China is currently the largest trading partner and import source country of Mauritius.

On January 1, 2021, the Free Trade Agreement between China and Mauritius officially entered into force. The China-Maori Free Trade Agreement is the 17th free trade agreement signed by China and the first free trade agreement between China and African countries. Before the entry into force of the China-Maori Free Trade Agreement, Mauritius exported mainly sugar, watch accessories and flowers to China. After the entry into force of the Agreement, it opened the door of international trade export opportunities for many Mauritian products, including rum and textiles.

Despite the impact of the COVID-19 epidemic, the FTA has greatly boosted Mauritius' exports to China. The total export volume of Mauritius to China in 2021 increased by US $9 million compared with 2020. It is worth mentioning that Beijing will become the largest trading partner of Port Louis, the capital of Mauritius, in the first quarter of 2022.

In addition to injecting new impetus into the international trade and economic cooperation between the two countries, the China-Maori Free Trade Agreement is also expected to become an important platform and link connecting the member countries of the Regional Comprehensive Economic Partnership Agreement (RCEP) and the African Free Trade Area. At the beginning of 2022, RCEP came into force in China, and Mauritius also participated in the construction of a free trade area on the African continent. Taking Mauritius as the gateway can further promote the trade between the RCEP member countries and the African continent free trade zone. The products and investments of the RCEP member countries can enter the African continent through Mauritius, and the products and investments of Africa can also enter the RCEP member countries through Mauritius. The China-Maori Free Trade Agreement will better connect the RCEP member countries and the African continent.