Page 26 - Banking Finance September 2018

PRESS RELEASE

Y CASA deposits constitute 46.33% of total deposits and Y Provision Coverage Ratio has improved by about 15
posted modest Y-o-Y growth of 4.15%. percentage points to 62.19% as on June 30, 2018 from
47.32% as on June 30, 2017.
NPA Management: Y Gross NPAs and Net NPAs reduced by Rs.249 crore and
Y Cash recovery and up-gradations in Q1 of FY 2018- Rs.2064 crore respectively Y-o-Y.
19increased by 39% Y-o-Y to Rs. 1124 crore as Y As on 30.06.2018 Gross NPA stood at Rs, 17800 crore
compared to Rs 807 crore in the corresponding period (21.18% of gross advances) and Net NPA stood at Rs.
of previous year. 9195 crore (12.20% of net advances).

Mauritius in the forefront in the fight against international tax

evasion and other malpractices

Following the recent publication of a number of media reports, stating that Mauritius and 24 other countries would
henceforth be treated as "high-risk jurisdictions" by global custodian banks operating in
India, high level discussions were held between the Financial Services Commission of
Mauritius (FSC) and the Securities and Exchange Board of India (SEBI), within the framework
of the existing MoU between the two regulatory bodies.
The SEBI gave the assurance that it is neither working on, nor contemplating to produce
any list at its level, which will identify Mauritius as a 'High Risk'jurisdiction. The SEBI further
affirmed that it has no adverse concerns with respect to the Mauritius jurisdiction and
acknowledges all initiatives undertaken by Mauritius to ensure full adherence to best
international norms and practices with respect to regulatory oversight and enforcement.
FarazRojid, the Head of Financial Services at the Economic Development Board of
Mauritius, said that "The Mauritius IFC is a recognised jurisdiction by international
authoritative organisations. As a credible and trusted IFC, Mauritius has constantly and
Faraz Rojid - Mauritius EDB consistently implemented significant initiatives and adopted appropriate legislations to
enhance its legal and regulatory frameworks for exchange of information and transparency as per the international
norms and standards, in order to combat money laundering and terrorist financing. As such, Mauritius has been always
in the forefront in the fight against international tax evasion and other malpractices."
He further added that,"The OECD's Global Forum on Transparency and Exchange of Information for Tax Purposes rated
the Mauritius IFC as a "Compliant" jurisdiction, which is the highest rating. Furthermore,Mauritius was not includedin
the 'European Union list of non-cooperative jurisdictions for tax purposes' published in December 2017."
In June 2015, Mauritius signed the OECDs' Multilateral Convention on Mutual Administrative Assistance in Tax Matters.
Mauritius currently has an exchange information mechanism with 127 jurisdictions. In addition, Mauritius is a member
of the Early Adopters Group committed to the implementation of the Common Reporting Standard (CRS) on the automatic
exchange of tax and financial information on a global level, which the OECD developed in 2014.
Mauritius is the first African country to have signed the Intergovernmental Agreement with the United States for the
implementation of the Foreign Accounts Tax Compliance Act (FATCA) in December 2017 and is a founding member of the
Eastern and Southern Africa Anti Money Laundering Group (ESAAMLG), which looks at combating money laundering,
the financing of terrorism and other forms of financial crimes.
In July 2017, Mauritius signed the "Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base
Erosion and Profit Shifting" (MLI). Mauritius has joined the Inclusive Framework to implement the BEPS Recommendations
and the new initiative on exchange of Beneficial Ownership information.
It is important to highlight that investors look beyond tax incentives to invest through an IFC. In fact, more than 40% of
total investments from Mauritius into Africa are directed towards countries with which Mauritius does not have a tax
treaty (or where the tax treaty is not yet into force).

26 | 2018 | SEPTEMBER | BANKING FINANCE