As Mauritius reaffirms its position as a dynamic international financial centre, the 2025–2026 Budget introduces a number of measures aimed at strengthening the country’s regulatory and compliance frameworks. These changes directly impact the financial services sector and highlight a national focus on combating financial crime, enhancing regulatory oversight, and building resilience.
Here’s what financial institutions, compliance professionals, and AML/CFT stakeholders need to know.
A Stronger Push for AML/CFT Capacity-Building
The budget sets a clear tone on the importance of Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT). Recognising the growing complexity of financial crimes, the government is launching specialised AML/CFT training programmes for both the public and private sectors. This move reflects a proactive stance to ensure stakeholders at all levels are equipped to detect and prevent illicit financial activity.
What it means for your organisation:
Training and ongoing professional development are no longer optional. Companies must now prioritise building internal AML/CFT capabilities through formal programmes and expert-led training.
Digital KYC & Unified Licensing: Compliance Meets Efficiency
In a bid to modernise and streamline compliance processes, the Financial Services Commission (FSC) will roll out two critical initiatives:
- A centralised KYC repository, aimed at improving due diligence processes and reducing duplication.
- A unified e-licensing platform to simplify regulatory approvals and oversight.
These digital upgrades are designed to enhance transparency and reduce friction in compliance processes.
💡 CompFidus Tip: Start reviewing your current KYC protocols now to ensure they can seamlessly integrate with the national repository once it goes live.
Focus on Regulatory Resilience with FSAP Engagement
Mauritius will request a joint Financial Sector Assessment Program (FSAP) by the IMF and World Bank. This initiative reflects the country’s commitment to benchmarking its regulatory framework against global standards and identifying opportunities for improvement.
For firms operating in or entering the Mauritius market, this signals an era of increased scrutiny, transparency, and accountability.
New Licensing Frameworks: Wealth Management and Family Offices
The budget proposes the creation of a dedicated licensing framework for Wealth Management and Family Offices, allowing firms to offer integrated services ranging from investment advisory to succession planning. This positions Mauritius as a competitive platform for high-net-worth individuals and cross-border investment.
However, with opportunity comes responsibility. These new licenses will likely come with enhanced compliance expectations—especially in areas like source of wealth verification, transaction monitoring, and cross-border risk assessments.
A Heavier Tax Burden for Financial Institutions
Financial institutions aren’t left untouched. The Budget introduces:
- A 2.5% additional tax on the chargeable income of banks from domestic operations.
- A Fair Share Contribution of 5% for corporates with income above Rs24M.
- An Alternative Minimum Tax (AMT) of 10% for financial intermediation firms, if their tax falls below this threshold.
These tax measures aim to rebalance public finances but could potentially impact profitability and require careful strategic planning and compliance reviews.
What Should Businesses Do Now?
To remain compliant and competitive, financial institutions and regulated entities should:
- Review AML/CFT programmes in line with upcoming capacity-building frameworks.
- Evaluate current KYC procedures to align with the upcoming centralised repository.
- Reassess licensing needs and obligations, particularly if exploring new services like wealth management or family offices.
- Plan for new tax burdens, ensuring all reporting and disclosures are accurate and timely.
- Engage with compliance experts to carry out a readiness check against evolving local and global AML standards.
Preparing Your Compliance Team for What’s Ahead
While the Mauritius Budget 2025-2026 brings opportunities for growth and international positioning, it also introduces greater regulatory and tax complexity. Mauritius is clearly doubling down on its compliance credibility, a strategic move to strengthen its status as a trusted financial jurisdiction.
At CompFidus Ltd, we help financial institutions and businesses navigate these evolving challenges through AML/CFT audits and gap assessments, KYC process optimisation, training and professional development, and licensing advisory and regulatory reporting. Contact us today to stay ahead of the curve.