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Republic of Mauritius APRM AFRICAN PEER REVIEW MECHANISM Republic of Mauritius COUNTRY REVIEW REPORT NO. 13 July 2010 FOREWORD The home-grown African initiative for advancing the basic values of democracy and governance, as a prerequisite for sustainable economic growth and development on the continent, was launched almost a decade ago. The African Peer Review Mechanism (APRM) has since grown from one success to another. It gives me great pleasure to present the APRM Country Review Report and the National Programme of Action of the Republic of Mauritius. This is the thirteenth report in the series and the tenth that has been accomplished under my stewardship as Chairperson of the APR Forum. Mauritius has established itself as an enduring democracy in Africa. the outcomes. Pluralistic participation and diversity of ideologies ensure the institutionalization of a culture of democratic and constitutional governance as well as political stability in the country. In this regard, Mauritius stands out as a beacon in the Continent. The economy of Mauritius has blossomed, culminating in over 40 years of average annual economic growth rate of more than 5%. Subsequently, the country responded to challenges inherent in the discarding of trade preferences by diversifying its economy and positioned itself as a gateway to enhance these achievements. Nevertheless, there are still some challenges to be overcome, as indicated in the Report. Mauritius is striving to manage diversity, democratize the across the country are needed to address the constraints of building the strong and emerging Mauritius of tomorrow. I call upon Mauritius and development partners to study this Report carefully and contribute to the implementation of the National Programme of Action. The APR Forum will nourish interest in the implementation process through the review of Annual Progress Reports thereon. COUNTRIES PARTICIPATING IN THE AFRICAN PEER REVIEW I would like to thank the Government and People of Mauritius and my Peers MECHANISM (APRM) AND THE AFRICAN PEER REVIEW in the APR Forum for their determination and commitment that have enabled (APR) PANEL OF EMINENT PERSONS us to arrive at this stage of implementation of the Mechanism as a whole. APRM participating countries I extend the same gratitude to the APR Panel of Eminent Persons and the APRM Secretariat for dedicating relentless expertise and time in preparing The countries participating in the APRM as of 7 July 2010 are the following: this highly insightful report. Algeria, Angola, Benin, Burkina Faso, Cameroon, Republic of Congo, Djibouti, Egypt, Ethiopia, Gabon, Ghana, Kenya, Lesotho, Malawi, Mali, Mauritius, Mozambique, Nigeria, Rwanda, São Tomé & Príncipe, Senegal, Sierra Leone, South Africa, Sudan, Tanzania, Togo, Uganda and Zambia. APR Panel of Eminent Persons Meles Zenawi Chairperson of the APR Forum Professor Adebayo Adedeji, from Nigeria, representing West Africa (Chairperson) Professor Mohammed Seghir Babès, from Algeria, representing North Africa (Member and Lead Panellist for the Mauritius review process) Mrs Domitilla Mukantaganzwa, from Rwanda, representing East Africa (Member) Barrister Akere Tabeng Muna, from Cameroon, representing Central Africa (Member) Amb. Siteke Gibon Mwale, from Zambia, representing Southern Africa (Member) Barrister Julienne Ondzie Gnelenga, from Republic of Congo, representing Central Africa (Member) Professor Amos Sawyer, from Liberia, representing West Africa (Member) APRM Secretariat Postal address: PO Box 1234, Halfway House, Midrand, 1685, South Africa Physical address: First Floor, Gateway Park B, International Business Gateway, Corner New Road and Sixth Road, Challenger Avenue, Midrand, 1682 Tel.: +27 (011) 256 3401 Fax: +27 (011) 256 3456 www.nepad.org/aprm or www.aprm-international.org TABLE OF CONTENTS CHAPTER FIVE 235 5. CORPORATE GOVERNANCE 237 Acknowledgements ii 5.1 Introduction: Challenges for corporate governance 237 Map of Mauritius iv 5.2 Standards and codes 239 Country fact sheet v 5.3 Assessment of performance on Social and economic indicators vi African Peer Review Mechanism objectives 242 Acronyms and abbreviations xv CHAPTER SIX 287 EXECUTIVE SUMMARY 1 6. SOCIOECONOMIC DEVELOPMENT 289 CHAPTER ONE 39 6.1 Introduction: Challenges to socioeconomic development 289 6.2 Standards and codes 290 1. INTRODUCTION: THE AFRICAN PEER REVIEW MECHANISM 6.3 Assessment of performance on African Peer Review Mechanism objectives 293 AND ITS IMPLEMENTATION IN MAURITIUS 41 1.1 The African Peer Review Mechanism and its implementation 41 CHAPTER SEVEN 351 1.2 The implementation of the African Peer Review Mechanism process in Mauritius 45 1.3 The Country Review Mission 46 7. CROSSCUTTING ISSUES 353 1.4 Activities conducted during the Country Review Mission 48 7.1 Overview 353 7.2 Rodrigues Island 354 CHAPTER TWO 51 7.3 Corruption 357 7.4 Managing diversity 361 2. HISTORICAL CONTEXT AND CURRENT CHALLENGES 53 7.5 Poverty 363 2.1 Historical overview 53 CHAPTER EIGHT 367 2.2 The economic context 60 2.3 Conclusion: The strengths and challenges for Mauritius 62 8. GENERAL CONCLUSION: CONSTRAINTS AND PERSPECTIVES 369 CHAPTER THREE 65 8.1 Introduction 369 8.2 Constraints and risks 369 3. DEMOCRACY AND POLITICAL GOVERNANCE 67 8.3 Assets and prospects 373 3.1 Introduction: Challenges to democracy and political governance 67 3.2 Standards and codes 71 ANNEXURE I: COMMENTS OF THE GOVERNMENT OF MAURITIUS 377 3.3 Assessment of performance on African Peer Review Mechanism objectives 81 ANNEXURE II: PROGRAMME OF ACTION 419 CHAPTER FOUR 159 ANNEXURE III: DRAFT PEER REVIEW REPORT OF MAURITIUS 419 4. ECONOMIC GOVERNANCE AND MANAGEMENT 161 TABLES 4.1 Overview: Challenges to economic governance and management 161 4.2 Standards and codes 164 3.1 Core international human rights instruments 74 4.3 Assessment of performance on 3.2 Other multilateral treaties 77 African Peer Review Mechanism objectives 175 3.3 Regional human rights instruments 78 3.4 International humanitarian laws and standards signed by Mauritius 78 3.5 Allocation of women candidates by political parties in the 2005 elections 95 4.1 Status of signature and ratification of standards and codes 165 3.1 Standards and codes 72 4.2 Southern African Development Community 4.1 Global financial crisis and the Mauritian economy 191 macroeconomic convergence criteria 169 5.1 Independent Commission Against Corruption 269 4.3 Real gross domestic product indicators 178 6.1 Debt management strategy 299 4.4 Public finance indicators 190 6.2 nvestments planned for 2009–2013 301 4.5 External debt (in millions of Rs) 195 6.3 The financial situation of the Mauritian Pension Fund: Projections 4.6 Total Treasury operations (in millions of Rs) 204 of expenditure and revenue until 2040 309 4.7 Public debt (in Rs millions) 207 6.4 Flexicurity: Operating procedure 312 4.8 Trade between Mauritius, the Southern African Development Community and the Common Market for Eastern and GOOD AND BEST PRACTICES Southern Africa countries (thousands of Rs) 227 3.1 Public Service Excellence Award 120 5.1 Mauritius’s ranking in the Ease of Doing Business 2009 Survey 246 3.2 The role and powers of the ombudsperson for children 146 5.2 Starting a business in Mauritius 247 3.3 The Migrant Unit of the Ministry of Labour, Industrial Relations 5.3 Registering property in Mauritius 248 and Employment 153 5.4 Enforcing contracts in Mauritius 250 3.4 The treatment of senior citizens in Mauritius 155 5.5 Corruption as perceived by the private sector 266 4.1 Financing the budget deficit in Mauritius 183 5.1 Public-private sector partnerships 245 6.1 Compared variations in the wage rate and inflation rate (2000 was the base year with a real wage rate of 100) 311 FIGURES 6.2 Poverty rate based on different poverty lines 313 6.3 An international comparative perspective of health expenditure 4.1 Gross domestic product by sector (2007) 179 in Mauritius (2006) 320 4.2 Real gross domestic product growth 6.4 Annual number of new cases of HIV and AIDS detected and per capita gross domestic product 184 among Mauritians 321 4.3 Percentages of public debt at the end of 2007 206 6.5 Education expenditures of Mauritius in an international comparative 5.1 Mauritius – ease of doing business 247 perspective: Unit cost per pupil and per level as a percentage of 5.2 Ranking of Mauritius on ease of getting credit 249 per capita gross domestic product (2002 to 2006) 322 5.3 Ranking of Mauritius in protecting investors 249 6.6 Representation of women in political positions (2008) 336 6.7 Representation of women in top government positions 337 6.8 Representation of women in the judicial system (2008) 338 7.1 Half-median household income 363 7.2 Adjusted half-median household income 364 7.3 Selected estimates of household income – household budget surveys, 1986/1987–2006/2007 365 7.4 Poverty rate based on different poverty lines 365 BOXES 1.1 African Peer Review Mechanism activity report 42 2.1 Slavery in Mauritius 54 2.2 Sugar plantations, the end of the slave era, and indentured servants 56 2.3 Mauritius: Consolidating democracy 59 2.4 Mauritius: The challenge of reinvention 61 Programme Regional Bureau for Africa (UNDP, RBA), and the United Nations ACKNOWLEDGEMENTS Economic Commission for Africa (UNECA). The APR Panel offers sincere thanks to these three institutions, not only in terms of the present exercise, but also in respect of the constant and continuing support given to the APRM since The APR Panel of Eminent Persons is delighted to present its country review its inception. The APR Panel furthermore gratefully acknowledges the strong report on Mauritius. An undertaking such as this is the result of the hard work leadership provided by these organisations’ respective heads – Messrs Donald and unfailing support of the people of Mauritius, led by His Excellency Dr Kaberuka, Tegegnework Gettu and Abdoulie Janneh. the Honourable Navinchandra Ramgoolam, prime minister of the Republic of Mauritius.
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