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Africa's First "Tiger Cub": the Incredible Success-Story of Mauritius

Africa's First "Tiger Cub": the Incredible Success-Story of Mauritius

The Park Place

Volume 4 Issue 1 Article 10

5-1996

Africa's First "Tiger Cub": The Incredible Success-Story of

Vinod Cardoza '96

Isabelle Pun Sin '97

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Recommended Citation Cardoza '96, Vinod and Pun Sin '97, Isabelle (1996) "'s First "Tiger Cub": The Incredible Success-Story of Mauritius," The Park Place Economist: Vol. 4 Available at: https://digitalcommons.iwu.edu/parkplace/vol4/iss1/10

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Abstract Mauritius has often been cited as the success story of the 1980s among developing . The embarked on an ambitious program of industrial and commercial development in 1971, when the Export Processing Zone (EPZ) was set up ( Librq Reporr 1995). According to Business America (Craig 1992), ''From 1 97 1 to 1990, the number of enterprises in the EPZ jumped fiom 10 ot 574; employment from 644 to 88,258; exports from MRS. (Mauritian Rupees) 4 million to MRS. 1 1,000 million; and exports as a percentage of total Mauritian exports fiom 1 1 ot 63 percent."

This article is available in The Park Place Economist: https://digitalcommons.iwu.edu/parkplace/vol4/iss1/10 Africa's First "Tiger Cubn: The Incredible Success-Story of Mauritius

Viod Cardoza and Isabelle Pun Sin

''The British stir sugar into their tea clockwise, the French stir it anti-clockwise. But we Ueuritians stir it 'zig-zag'!" - Mooniar, Mauritian tour guide. L INTRODUCTION percent, of European descent (French and English). Today, most speak both It is believed that Mauritius was known to English and French, and Mauritius receives early Arab traders, but the first visitors fiom preferential treatment fiom both and were the Portuguese. Mauritius was . This is a reflection of Mauritius' uninhabited when the Portuguese first came to colonial background. the in 15 10. They used it as a stopover Mauritius gained its from the on the way to Goa and Malacca, but they did on , 1968. That not settle (Craig 1992). When the Dutch came year, it became a member of the as settlers in 1598, they named the island after Commonwealth (P.C. Globe 1992). On Prince Maurice Van Nassau. They introduced March 12, 1992, Mauritius became a republic and a herd of Javanese , and within the Commonwealth (Craig 1992) . exterminated the bud in the process. According to me Jerusalem Post (Bittiker II. PROGRESS REPORT 1993), "The Dutch stayed only as long as it took to cut down every tree and kill off Mauritius has often been cited as the all the dodo birds on the island." success story of the 1980s among developing In 1715, the French came to the island and countries. The country embarked on an renamed it "Isle de France." They too cut ambitious program of industrial and down , and brought in slaves fiom commercial development in 1971, when the Africa and to work on the sugar Export Processing Zone (EPZ) was set up plantations. Mahe de Labourdonnais (who (Reuters LibrqReporr 1995). According to took over as governor in 1735) rebuilt Port- Business America (Craig 1992), ''From 197 1 Louis, the capital , and opened the first to 1990, the number of enterprises in the EPZ sugar mill on the island (Craig 1992). jumped fiom 10 to 574; employment from 644 Following the , the to 88,258; exports from MRS. (Mauritian British took over Mauritius in 1810. They Rupees) 4 million to MRS. 11,000 million; and abolished in 1833, and imported exports as a percentage of total Mauritian indentured laborers fiom to work on the exports fiom 11 to 63 percent." plantations (Murphy 1981). The Chinese also Mauritius was indeed in a dire economic came to the island as as shopkeepers and situation in the late and the early 1980s, busiiessmen. This explains the demography of but, within a generation, Mauritius has gone the Mauritian population today: 65 percent fiom "gloom" to "boom". Mauritius seemed Indian (both Hindu and Muslim), thirty percent to be heading toward --some people Creole (a French-African mix, mostly expected the tiny island to face the same fate Catholic), three percent Chinese, and one as the extinct dodo. One of the major Cardbza and Pun Sin

problems Mauritius was facing was acute In 1980, because of a cyclone, sugar . In 1981, the population production was barely 475,000 tons. That doubling time was calculated to be an alarming year, Mauritius consumed 40,000 tons locally, 40 years (Murphy 1981). The Financial ind was unable to meet its quota of 500,000 Times (Hawkins et.al. 1994) writes: "Some tons that, under an agreement with the thirty years ago, an eminent economist warned European Economic Community, Mauritius that Mauritius faced 'ultimate catastrophe' was expected to supply. This resulted in a loss unless its rate of population growth was of $160 million for Mauritius (Gupte 1981). checked." In 1981, Mauritius had to devalue its Another economic problem faced by currency again. The current balance of Mauritius in the 1970s and early 1980s was payments deficit was running more than $200 that it was too dependent on the agricultural million a year, and no Western commercial sector, mainly sugar production. In 1970, bank would extend it credit (Gupte 1981). sugar cane and its by-products constituted 92 during that period was also a percent of exports (South ChimMorning Post very serious problem for Mauritius. 1995) In the 1970s and 1980s, Mauritius was According to The Washington Post- (Murphy the ninth-largest producer of sugar in the 198l), the unemployment rate was estimated (Gupte 1981). The was to be around 15 percent. earning two-thirds of its foreign exchange and To deal with these problems, the one-third of its fiom had to come up with this primary commodity, which was already several plans to dramatically improve sugar overabundant and economically suicidal production,productivity, as well as to boost considering that the world at that time was exports. New production methods were rapidly turning to sugar substitutes (Murphy introduced (Gupte 198 1). Sugar producers 198 1). For years, the Ministry of Agriculture started using new irrigation techniques such as attempted to diversify the agricultural sector drip irrigation, a process by which fields are but these attempts were met with limited ensured of steady, below-surface watering success, a reason being that sugar is the crop through special pipes that crisscross the that is the most resistant to the cyclones that growing (Gupte 1981). This new type of occasionally hit the island. ~c&ciii~to the irrigation was more efficient than the Euromoney Supplement (1 990), a major traditional method that caused uneven cyclone strikes the country about once every watering, waste of and occasional fifteen years. flooding. Another in the sugar In 1979, the economic situation in was the use of special "ripeners" (so Mauritius became catastrophic: world sugar that the crop matures more quickly) which prices and rising oil prices left Mauritius with were sprayed in the cane fields. only enough foreign exchange for two weeks A further breakthrough in the Mauritian of imports in August of that year. It was sugar industry was the construction of a bulk forced to borrow a loan of $98 million fiom sugar terminal in Port-Louis, the capital the International Monetary Fund. In return, it (Gupte 1981). The project was financed by had to devalue the , causing sugar producers, as well as the Mauritian inflation in the island to rise to about 40 government under Sir Seewosagur percent (Murphy 198 1). Ramgoolam. The new bulk terminal-the Mauritius was a monocrop economy that largest of its kind in the area-- depended heavily on sugar exports. This was was hlly automated and computerized, and the cause of many of its economic problems. had the capacity to load ships at 1,500 tons of IXe Park Place Economist, v. 4

sugar an hour. Previously, that quantity would The EPZ was set up in 1971 and by 1987 have taken manual labour a month to load it had made Mauritius the third largest (Gupte 1981). exporter of woollens (Reuters Library Re* Further, the agricultural sector experienced 1995). The development of the EPZ sector diversification throughout the 1980s. greatly contributed to a reduction in Mauritian sugar producers started producing unemployment in the country. Even though it "special sugars" which fetch far higher prices employs people mainly in textile and than regular sugar-and are growing in factories, the EPZ also employs workers popularity as a result of considerations. (mostly women) in factories that produce The production of by-products of sugar, such other products such as clocks, watches, as bagasse (molasses), was extensively carnival masks and spectacle frames. The encouraged. Bragasse is used to produce rapid development of the EPZ was the result electricity (Morna 1993). of two influences--low labour costs and However, the agricultural sector also preferential access to the European diversified into other products, mainly Community (EC) through the terms of the horticultural commodities. In the 1980s Lome Convention. Further, the government Mauritius comodities. In the 1980s Mauritis strongly--and successfblly--encouraged started producing and exporting anthuriums, investment in the EPZ. Entrepreneurs were "partly in response to a blight in Hawaii" entitled to duty-free inputs, free repatriation (Morna 1993). This has proven to be a very of both capital and dividends and more liberal successfhl venture for the island: Mauritius is labour laws than those applying in other currently the second-largest exporter of the sectors in Mauritius. The result was a growth flower in the world. in value-added at 17 percent between 1971 In the early 1980s, Mauritius was one of and 1975. Manwedproducts which were the first Afiican countries to launch classical almost non-existent before the EPZ (set up in International Monetary Fund-style policies 1971) accounted for nearly a quarter of total (Reuters Library Report 1993). The 1980s export earnings by 1977 (Institutional Investor also saw the implementation of structural 1989). adjustment programs across the Mauritian The Mauritian economy has often been economy. One of these strategies was export- compared to a three-legged stool: textiles, led . This was done by the sugar, and tourism. But the government has Mer development and expansion of the introduced a fourth pillar--financial and export processing zone (EPZ) sector. Indeed, business services (Morna 1993). Tourism, the the EPZ has played a signdicant role in the third pillar, plays a significant part in economic success of Mauritius. According to generating foreign exchange. This may be The Financial Times (Hawkins et.al. 1994), attributed to the fact that Mauritius is blessed "For a decade or more, the Mauritian miracle with 160 kilometers of white sandy , has been driven by the EPZ, more spec%cally and is surrounded by an aquamarine clear by the clothing and textile sector. The EPZ's ocean. share in gross domestic product (GDP) has more than doubled in the past 10 years from IIL SOCIO-ECONOMICINDICATORS 5.2 percent in 1983 to 12.5 percent last year." In the Institutional Imstor (Morna 1993), the Mauritius has made remarkable economic author writes: "Growth in the EPZ sector progress over the years. It has often been helped to wrench Mauritius out of and cited as the first "Afiican Tiger," or even the into its current middle status." " of the Indian Ocean." According and Pun Sin

to The FinancialPost (Ramparee-Bloomberg obtained from tax sources, the largest 1994), the author wrote, "The economic boom component was international and in the island of one million inhabitants has led transactions, which made up 40.3 percent the to call it a 'model economy' (World Development Report 1994). This for developing countries." The tiny Indian revenue probably consisted mainly of tariffs, Ocean island has, in fact, successfully emerged which is not unusual for less developed fiom its severe economic problems in the countries (LDCs). 1970s and early 1980s, from a low income In absolute figures, Mauritius' total country to an upper-middle income country. external has increased from W67 million The GDP has been growing annually at an in 1980 to $1,049 million in 1982. However, average rate of 6.8 percent since the early total external debt for the same years when 1980s. In 1987, reached a calculated as a percentage of gross national record high of more than seven percent product (GNP)actually fell fiom 4 1 percent to (Reuters Library Report 1993). GDP per 35 percent. This decrease is attributed to capita has increased from about $340 in 1972 Mauritius' excellent economic performance, to about $3,000 in 1993 (Reuters Library which enabled the country to repay all of its Reporr 1995). with the International Monetary Fund The inflation rate has also been reduced (IMF) since 1977 (Institutional Investor fiom 42 percent in the early 1980s to 5 percent 1991). in 1992. Over the same period, unemployment Mauritius is successfblly undergoing its has fallen fiom 20 to 2.7 percent, and the development process as it has moved fiom budget deficit fiom 14 to 2.45 percent of GDP primary to secondary production. There has (Craig 1992). In 1970, savings and investment been a significant shift in the composition of were both approximately one tenth of GDP. Mauritius' exports between 1970 and 1992, In 1992, savings and investment both mainly a drop in primary commodities increased to about one quarter of GDP. This accompanied by a simultaneous rise in exports co-movement is consistent with observations of manufactured goods. The share of that suggest that savings and investment are secondary (value-added) goods as a positively related, and indicates that the percentage of total exports has increased country is able to fund most of its gross significantly (fiom 2 percent to 65 percent), domestic investment (GDI) fiom domestic whereas the share of primary goods as a savings. percentage of total exports has greatly declined (from 98 percent to 3 1 percent). It ~ - -- should also be noted that the Mauritian textile "The tiny Indian Ocean industry has developed to the extent that it island has, in fact, accounted for 54 percent of exports in 1992, up from 1 percent in 1970 (World successfblly emerged from its Development Report 1994). This is a clear severe economic problems." indicator that Mauritius is presently in the second phase of industrialization. Another positive economic indicator is that Mauritius In 1992, the Mauritian central government has become self-sufficient in production revenue as a percentage of total current over the past two decades, because food, as a revenue was about 87 percent fiom tax percentage of total imports, has fallen fiom 36 sources and 13 percent fiom non-tax sources. percent in 1970, to only 13 percent in 1992. Out of the 87 percent of total revenue Imports of machinery and transport equipment The Park Place Economist, v. 4

have increased significantly, and he1 imports also show that Mauritius is better off. and other manufactures (probably Population control has been implemented with consumption goods) have increased slightly great success, although overpopulation is still (World Development Rep1994). This is a problem in this island which has an area of consistent with the country's industrialization only 720 square miles (approximately the size process. of Rhode Island). While the population The average annual growth rate of doubling time was estimated to be only 40 Mauritian exports has increased by 5.9 years in the early 1980s, the World percent, while imports have increased on Development Report (1994) reports that figure average by only 2.9 percent during the period to be about 63.64 years in 1994. This has 1980- 1992, fiom the period 1970-1980 been achieved due to strict population control. (WorU Development Report 1994). This is a As GDP has risen over the years, so has the positive indicator in terms of Mauritius' , and, associated with this has balance of trade. been an improvement in (at The tourism industry has grown in bid) over time. In 1972, lie expectancy was popularity over the years. According to the 62.9 years; this had increased to 70.0 years in Institutional Investor (Moma 1993), "Tourism 1992. brings in over MRS. 3 billion in export According to The Christian Science earnings each year, and is the island's third Monitor (Fitzgerald 1985), the vehicle for largest earner of foreign exchange (after achieving the population reduction was direct sugars and textiles). In 1992, the sector grew and simple. About twenty years ago, by 10 percent, well above the global average billboards were posted throughout the island of 3 percent, with some 330,000 tourists with a visual message aimed at the illiterate coming to Mauritius." field workers. They depicted a Mauritius so Another important part of the Mauritian crowded that people were falling into the sea. economy is the offshore sector which started Apparently, the point hit home. less than a decade ago, but which is rapidly According to Nunkoowar Deerpalsing, the gaining importance. Offshore banking has commissioner of Social Security in the been introduced since 1989, but it is only in Ministry of Social Security and National 1992 that Mauritius followed a 111 range of Solidarity, "Progress on the economic and offshore business activities @e Aenlle 1993). social sides has been so impressive during a Several -banks have already established relatively short period that Mauritius is now offshore facilities: Barclays Bank, Bank of often quoted as a model for its successfbl Baroda, Banque Nationale de Paris implementation of Intercontinentale (BNPI), and the Hong Kong policies" (Chiledi 1994). and Shanghai Banking Corporation (Moma 1993). Finance Minister Sithanen is confident IV. ANALYSES that the offshore sector will become highly & RECOMMENDATIONS successfbl in the near future, for he believes Mauritius has many selling points: a strong and 'Mauritius is an island of m hassles, no hiccups, no nasty diverse economic base, political stabiity, a animals and no threatening . as well as no multilingual population, a location in a time dodo." -- David Wickers, Sunday Times zone west of Asia and east of Europe and As discussed above, the vast majority of aca, and a "good professional Mauritius' key indicators--social, political, and that can oil the machinery" @e Aenlle 1993). economic--suggest that the country is Social indicators as well as economic ones following a development strategy that works and Pun Sin

for it, and works very well indeed. This "-tius has] reached a level of unemployment that is should not be surprising, considering that so low it's become a constraint The problem is that Mauritians have become lazy."-- Expatriate Banker Mauritius adopted classic IMF-style policies. Mauritius today, then, is atypical of developing As we see it then, Mauritius' most urgent countries, many of which are plagued with economic "problem" today is a labor shortage problems arising fiom misconceived or in contrast with most developing countries mismanaged economic recovery programs. which have to deal with the far more serious problem of unemployment. Families earnings 'There is a clear mhstanding of the 'rules of the game.' have increased about ten-fold in twenty years, Politicians and may come and go, but "without [their] quite knowing why--they're business goes on as usual." -- Institutional Investor earning enough to enjoy themselves". 1989 According to Euromoney Supplement (3 Mauritius is fortunate in that in the decades September 1990), this "enjoyment is especially after its independence, the country's history of manifest" on Monday's: at the EPZ in Port shifting political alliances and volatile Louis, the rate of absenteeism often is as high coalitions has not degenerated into political as 30 percent. Full employment has shifted instability. Stability has undoubtedly been a power away fiom management and towards major contributing factor in the country's workers. In this environment, the potential for development process. The reason for is seems inflation is a genuine concern for the to be the broad consensus that exists between government. the parties over the island's future. According to a Western diplomat, quoted in Institutional "The m~dantemphasis of producing merely to create Investor (1989), "Even if the Jugnauth jobs for people should now be transf- into a administration were to fall tomorrow, cballcnge ofbeing Afirica's first tiger, rather than the cub that sleeps at four." - Mauritian Industrial economic policy would remain the same." Strategy Papa 1 99 1 This characteristic of Mauritius is clearly an advantage in terms of attracting domestic and One way to encourage the labor force to foreign investment. grow is to further encourage women to work (Mom 1993). Importing labor and expertise "mauritius' economic policy of the early to mid 1980's is another option, although this is not favored is] modern socialism--rtalizing that you can't because "this solution does not work in the redistribute if you 't produce."- Nand0 Bodha, case of a small island like Mauritius which is PM's Press Attache finely balanced ethnically," according to With a population of just over one million, Rundheyxsing Bhee& Director General in the Mauritius is fortunate to have been suf5ciently Ministry of Economic Planning and small for wide-ranging reforms to take speedy Development The general consensus is that effect. Throughout the reform process, the importing labor simply delays inevitable emphasis has remained on economic progress adjustment. Bheenik explains this rationale: coupled with social justice--the best possible "Labor shortages are sending out a signal to combination of developmental objectives. economic operators that the whole way of Consequently, Mauritian is evenly doing things has to change.... The name of the spread throughout the island--for example, game is productivity and higher value-added." housing construction is actively being pursued The Mauritian economy, in fact, is already in remote villages as well as on the outskirts moving "upmarket" in every sphere. of the comfortable central towns such as Machinization is rapidly replacing labor in Quatre Bornes and . agriculture, and measures to increase yeilds, convert byproducts into electricity, diver@ The Park Place Economist, v. 4

the types of sugars sold, as well as move into before, because Nuxitius] is still a low-volume, high-value products like country, but we're now being asked to deliver the goods of a developed nation." -- Finance Ministry horticulture are evident (Institutional Investor spokesman 199 1). Inflation will be subdued as mechanization takes over and agricultural Mauritian plans to tap the vast fican laborers abandon their plantations for factory are marred by questions over the work (Euromoney Supplement 1990). continent's ability to pay for the goods. Also, As the Mauritian economy moves Mauritians have realized that it is difficult to "upmarketninto capital-and-skills intensive reconcile a strategy of producing higher value- activities, however, it will increasingly come added goods for export to the US, the EU and into competition with the the Far East, with one of selling the lower developecViidustrialized countries and other quality items which, inevitably, would be the NICs. Further, the markets and products into only ones which the Afiican market could which it is moving seems destined to become absorb (Euromoney Supplement 1990). increasingly competitive anyway. The island's initial competitive advantage was based on "If we harness our resources, train the adequate manpower and fight our way in the international low-cost, well-educated labor, but, with markets, I am confident Mauritius can become a hrther development, this can no guarantee newly industrialized country (NIC) with a sound, market share (Institutional Investor 1989). stable economy."-- Anerood Jupauth, PM Mauritians correctly attribute their many "Nauritius has] a natural competitive edge in textile mandmand should realize the inevitability of achievements to a combination of good that... . It would be more realistic for Mauritius to fortune, natural advantages, and their own try and displace as a lrnru~y garment efforts. The natural advantages include the manufacturer, rather than the Asian Tigas as an beauty of the island, its climate, and its electronic components supplier." - Expatriate competitive advantages in sugar production Banker and tourism. Mauritius' good fortune, An extremely relevant question, under ironically, includes investment, skills and these circumstances, then, is the one posed by technology transfer fiom Hong Kong and the Danielle Won& manager of the Mauritius Far East, due to the uncertainty surrounding Export Processing Zone (MEPZA): "[Should Hong Kong's hture (Euromoney Supplement Mauritius] diverse within existing sectors or 1990). Also, the LomC convention move into new sectors and new markets?" agreements, whereby Mauritius has a sugar There appear to be many contradictory quota of over 500,000 tons at a preferential opinions. For example, many Mauritians are price (approximately three times the world convinced that there is a fbture for software trading price) in the EU market, and manufacturing despite the lack of experience preferential entry for its textiles in the and manpower on the island. Others feel that European market, where they are not subject the Far East should be targeted as a potential to a quota (Institutional Investor 1989). market. Still others feel that not enough The so-called "Sugar Protocol" guarantees market is being done in Europe. The Mauritius willing buyers at set rates which, opening up of eastern Europe--a potentially recently, have averaged three times the world cheap manufacturing base close to the price. Mauritius exports approximately 75 (EU)--is of concern to percent of its sugar to the EU, and only about Mauritian manufacturers. 11 percent of its crop at prevailing world prices. Thus, it makes sense for the country to "The challenge today is even more formidable than preserve and protect its agriculture. Mauritius and Pun Sin

has found that the guaranteed prices have A significant problem faced by Mauritius is 'I decreased in real terms, because there has been in the area of manpower development. no rise in sugar prices for some years. Mauritians are well-educated and the However, according to prime minister rate is over 90 percent, but, as a banker quoted Jugnauth, Mauritius will fight for the protocol in Institutional Investor (Morna 1993) says, to be maintained, together with its partners in "It is no longer relevant to talk about the the EU and the scan, Caribbean, and Pacific literacy rate. Mauritians can read all right, but (ACP) countries. they can't operate high technology machinery." While this may be slightly exaggerated, strategies like the Industrial Training Strategy "The natural advantages (ITS) and institutions like the Industrial include the beauty of the Vocational Training Board (NTB) have been instituted and empowered by the government island, its climate, and its to combat the shortage of technical know-how competitive advantages in (InstitutionaZ Investor 1989), which, if left uncorrected, will prove to be a liability as the sugar production and economy moves fiom labor-intensive to capital-intensive production. tourism. w Another concern for Mauritius is the need to protect its environment, which was badly A final possible solution to Mauritius' labor neglected during the early 1980s in Mauritius' shortage is for its manufacturers to engage in relentless pursuit of industrial advancement. foreign direct investment (FDI) in neighboring Rectifjing this is probiem is important for the Madagascar. In fact, a significant part of the country as it relies very heavily on just 32 second phase of , which miles of good sandy beaches for tourism Mzuitius is in presently, envisages "a future in revenue, which accounts for around one-third which Madagascar becomes to Mauritius what of the island's earnings (Euromoney southern became to Hong Kong Supplement 1990). In keeping with the goal throughout the 1980s--a low cost offshore of environmental protection, the government manufacturing base with adequate also has had to consider whether plans for the communications which shares a common future of the local tourism industry should be language" (Euromoney Supplement 1990). At based on an upmarket ("jetset") clientele with present, Madagascar has practically no deluxe leisure hotels or on mass tourism, with industry, and severe unemployment problems. its large numbers of low-spending tourists. According to Maurice de Latour, a Mauritian According to Francoise Maurice, President of garment manufacturer, "[Mauritians] can the Association Internationale des Docteurs en recruit top quality labor, and the wdagascar] Economie du Tourisme, "the concentration of is much more disciplined than in hotels on the has grown into a menace hhwitius because they're & of losing their to ecology and has caused the of the " (Euromoney Supplement 1990). immediate environment" ("Mauritius" 1992). Although beyond the scope of this paper, Acknowledging the problem, the tourism Mauritius' Madagascar-strategy has positive ministry plans to impose parameters for hotel implications for Madagascar's economic construction, and to protect the country from development in a manner directly analogous "the dangerous effects of the decline into mass with Hong Kong's spillover effect on the tourism, opting for a far greater selective southern Chinese province of Guangdong. marketing strategy" ("Mauritius" 1992). The Park Place Economist, v. 4

Press Service, 3 1994. V. CONCLUSION Craig, Peter. "Mauritius, a Success Story of Mauritius1successll development strategy the 1980s, is Looking for Investors to

places it in a unique position among Afiican Participate in the Next Development 1 nations-the 38-mile long, 29-mile wide island Phase." Business America, 23 March offers facilities and opportunities today that 1992: 28. will not be available elsewhere in Afiica (with the partial exception of ) for many De Aenlle, Conrad. "Mauritius-A Special years to come. Except for Mauritius, there is Report." International Herald Tribune, no offshore banking center on the continent. 20 September 1993: 8. And, at the risk of sounding like an advertisement; no country is better placed, Euromoney Supplement. "Mauritius: Floreal better prepared, or better suited than Mauritius Knitwear's Blueprint For Expansion." to interfkce between the Asian Tigers and Sub- Reuter Textline, 3 September 1990. Saharan Afiica. Our prognosis for the future of the country is excellent-if it continues to Euromoney Supplement. "Mauritius: Meeting exhibit political stability, democratic The Challenge of Diversification." Reuter institutions, an emphasis on both human and Textlime, 3 September 1990. physical infrastructure, a fiee market philosophy and an outward oriented growth Euromoney Supplement. "Mauritius: Reforms strategy. of the 1980s Lead To Recognition in the Mauritian planning for prosperity in the 1990s." Reuter Textline, 3 September next century entails planning/executing the 1990. hndamental change from labor-intensive to capital-intensive industry, fiom an agricultural Gupte, Pranay B. "Dependence on Sugar to an industrial economy. These are the Womes Mauritius." me New York Times, essential stages of economic development, of Company, 26 progress fiom being a "" to December 1981. becoming a NIC. Our research indicates that that transition is well underway in Mauritius- Fitzgerald, Mary Anne, tius us: That with supply-side, growth-oriented and market- Tiny, Overpopulated Isle Where determined strategies. Booms." The Christian Science Monitor. The Christian Science REFERENCES Monitor Publishing Company, 3 March 1985. "Mauritius: Tourism Planners Will Aim High. " Apican Busines 2 June 1992. Hawkins, Tony and Holman, M. "Survey of Mauritius." The Financial Times. The Bittiker, Faye. "Paradise Found, on Financial Times Limited, 27 September Mauritius." The Jerusalem Post, 24 June 1994. 1993. Institutional Investor. "Mauritius: Sponsored Chiledi, Accadoga. "Mauritius-Economy: Section: Becoming Africa's First Tiger.' Facing Future With Well-Diversified Reuter Textline, 30 September 1991. Structure." , Inter Gwdoza and Pun Sin

I~'tuti0~1Investor. "Mauritius: Sponsored Section: Foreign Investment Moves Ramparee-Bloomberg, Sharmila. "Mauritius Industrialization to the Next Stage." Aims to be 'Hong Kong' Gateway of the Reuter Textline, 30 September 1989. Indian Ocean." The Financial Post. The Financial Post Limited, 10 September Institutional Investor. "Mauritius: Sponsored 1994. Section: Managing the Next Phase of the Economic Miracle. " Reuter Textline, 30 Reuters Library Report. "Here Are the Key September 1989. Facts About Mauritius." Reuters Limited, 2 January 1995. Jug, Suraiya. "Flavor of Mauritius; History Has Lefl Island Nation With a Rich Reuters Library Report. "Mauritius Expects Mixture of Cultures." The . to Keep Up High Economic Growth." Southam Inc. The Gazette (Montreal), 9 Reuters Limited, 11 April 1993. February 1994. South China Morning Pa?. "Mauritius Wants Morna, Colleen Lowe. "Agriculture; Facing to Be Hong Kong; Indian Ocean Island up to New Challenges." Institutional Has Big Business and Industrial Plans." Investor-International Edirion. March South China Morning Post Limited, 23 1993. January 1995.

Murphy, Caryle. "Surpluses of People, Sugar Sunday Times. "Mauritius Island Guide. " Trouble Island Paradise of Mauritius; Too Times Newspapers Limited, 13 December Many People, Too Much Sugar Plague 1992. Mauritius." The Washington Post, 30 March 198 1. World Development Report. New York: Word University Press, Inc., 1994. P.C. Globe Inc. Software. Tempe, AZ: 1992.

Vinod Cardoza ('96) is a double major in International Studies and International Business. He has expanded on his academic experience at Wesleyan by spending a semester on the Washington Semester Program at The American University, Washington, D.C. After graduation he plans to pursue a career in international advertising.

Isabelle Pun Sin ('97) has spent the past academic year at Westminster College in London, England. Next year she will return to Wesleyan's campus and finish her studies in her Business ~dministrationmajor and Economics minor.- She plans to enter the international banking field.

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