Pestle Analysis of Mauritius

M.Com (BUSINESS MANAGEMENT ) rd

3 SEMESTER 

PESTLE AND DEMOGRAPHIC ANALYSIS OF MAURITIUS

SUBMITED BY ALI JAMAL

ROLL NO. 24

M.Com (BUSINESS MANAGEMENT ) rd

3 SEMESTER 

PESTLE AND DEMOGRAPHIC ANALYSIS OF MAURITIUS

SUBMITED BY ALI JAMAL

ROLL NO. 24

CERTIFICATE

This is to certify Mr. Ali Jamal of M.Com Business Management semester 3 rd 2013-2014 has successfully completed the project on ―PESTLE and Demographic Analysis of Mauritius‖ under 

the guidance of Ms. Shradha Jain.

Project Guide

 ________________  _______________________ _________  __ 

Course Coordinator 

 _______________  ______________________ __________  ___ 

Internal Examiner 

 _______________  ______________________ __________  ___ 

External Examiner 

 ________________  _______________________ _________  __ 

Principal

_________________________ 

Date: ________  Place: Mumbai

DECLARATION

I Mr. Ali jamal the student of M.Com Business Management 3rd Semester (2013-2014) hereby declare that I have completed the project on ―PESTLE and Demographic Analysis of Mauritius‖

The information submitted is true and original to the best of my knowledge.

Ali jamal

(Signature)

ACKNOWLEDGMENT

My sincere Thanks to Ms. Shradha Jain, K.P.B. Hinduja College of Commerce, Mumbai for her  valuable guidance and support at all time. Also, I would like to thank and remember my family, friends & neighbours for their effort and helping hand. Every effort has been made to enhance the quality of work. However, I owe the sole responsibility of the shortcoming, if any, in the study.

Ali JAMAL Roll No : 24 M. Com - III Semester 

TABLE OF CONTENT

Sr. No

TOPIC

PAGE

1

Introduction

1

2

Historical Background

2

3

Objectives of the Study

3

4

4 Socialism Of Mauritius

5

Constituencies Of Mauritius

5

6

PESTLE Analysis

14

7

Foreign Relations & Partners Of Mauritius

25

8

Demographic Study of Mauritius

26

9

Analysis Of Major Industries

36

10

Bibliography

38

INTRODUCTION Mauritius is a republic country with an ostensible president and a parliamentary form of the government headed by a Prime Minister. There was a Rule by France from 1715 to 1810 and by Britain from 1810 to independence in 1968. And from that time, Mauritius is an established democracy whose citizens enjoy a full range of  Democratic freedoms. It includes freedom of speech and assembly and recourse to an independent judiciary also. In the legitimate channels, the Political issues are decided very peacefully. The press is very much free. And, it energetically  participates in the country‘s political life. Although Mauritius is a republic, it maintain

the British Privy Council as its court of final appeal. The ruling labor government was replaced by an alliance of the Mouvement Socialiste Militant (MSM), led by Sir Anerood Jugnauth, and the Mouvement Militant Mauricien (MMM), led by Paul Berenger in the elections helded in September 2000. In the National Assembly, the alliance won 54 of the 62 elected seats. Sir Anerood Jugnauth became a Prime Minister when Paul Berenger was appointed as a Deputy Prime Minister and Minister of Finance. The coalition agreement anticipated that Sir 

HISTORICAL BACKGROUND Jugnauth (MSM) will become a President after the three years. But, it was after the constitution is amended to confer greater power to that office. And he will be handing over the prime ministership to Mr. Berenger (MMM) to complete the five years term of the office. Further, we can say that the Political Risk in Mauritius is Moderate. The Mauritian government intervenes in the markets through subsidies and p rice controls. It contributes to price inconsistency. During the slowdown, Monetary and Fiscal Policies both have  been expansionary. And at the same time the government debt remains high. But, in mid-2011 in the light of inflationary pressures, there was a round of monetary tightening. The government is very much aggressive in facilitating improvements in the business climate. The World Bank ranks Mauritius at the first  position among African nations in its Doing Business index, which is the most effective part of Mauritius. In a framework of a parliamentary representative democratic republic, p olitics of  Mauritius takes place. And, in that the President is the head of state and the prime minister is the head of government who is assisted by a council of Ministers. Mauritius itself has a multi-party system in which Executive power is being exercised  by the government and Legislative power is being vested in the government and

the National Assembly both. And, the absolute power is split between two positions that is, the President and the Prime Minister. Mauritius Politics is based on the principles representative democracy. In the Republic of Mauritius, the parliament plays the most important role in the political scenario of the country. There are different social as well as political forces that work  in the country. Mauritius is at the 29th position among the countries, which countries are under  the British Commonwealth. Mauritius gained the independence from the British Rule in the year 1968. And after  the independence, Mauritius Politics became dominant in the country. In December  1995, Mauritius elections were held for the first time. And, it was followed by elections in 2000 and 2005. The National Assembly has 66 members in total. General elections are held after every five years to select 62 out of 66 members of  the National Assembly. And, the remaining four members represent different ethnic minorities. They are appointed by the Election Commission.

OBJECTIVES OF THE STUDY Mauritius elects a legislature on a national level. The National Assembly has 70 members. Among those 70 members, 62 members elected for a four year term in 21 multi-member constituencies and remaining 8 additional "best loser" members appointed by the Supreme Court. And, the president is elected for a five year term by the parliament. Mauritius has a multi-party system, in which there are two or three strong parties and a third party that is electorally successful. Every voter has three votes. The total number of votes cast divided by three (648,316) is lower than the actual number of people voting (666,178), because not all of them cast three votes. Constituencies from 1 to 20 are physically in the island of Mauritius and each has three elected members. And, constituency 21 is the island of Rodrigues which has two elected members. The voters are based in the island of  Agalega and other islets are registered in constituency 1.

SOCIALISM IN MAURITIUS Socialism in Mauritius includes the Mauritian Militant Movement. It is also known as MMM. This movement is a Left socialist political party in Mauritius. The party was basically formed by a group of students in the late 1960s. Another thing is that, it is the second largest single party in the National Assembly with 20 MPs. Moreover, it is the second largest party in the local government with 4 councilors. It is the major opposition party. As from 1st May, 2012 it is a coalition opposition with the sister party Militant Socialist Movement. Mauritian Militant Movement was emerged in the year 1969, out of the original Club des Etudiant, which dates to 1967. There was the major strike and riots happened in France. And initially, the group was a club for the University students. At that time, Paul Berenger was one of the initial leaders. 4 After his studies, he decided to launch a group. He just wanted to launch that group just to fight for the rights of the students for a better education and  better equal opportunities for each and every student. Then, there was a creation of the MMM's sister party, the Militant Socialist

Movement. It is also known as the MSM. The MSM created from the MMM dissidents, which is also one political party in the country. The MSM managed to stay in power until 1995. It had won all elections in 1983, 1987 & 1991. But, the MMM came back in power in 1995 in a coalition with the Labour Party. They resigned in the year 1997 and then came back  lastly in the government in 2000. But after that, the Prime Minister Paul Berenger lost the general elections with 42.6% of direct votes which against 48.8% for the Alliance Sociale led by Navin Ramgoolam in the year 2005. In 2010, the MMM had brought 42.46% with Paul Berenger as a leader and a candidate to become the Prime Minister. But, it lost to the alliance being led  by Navin Ramgoolam which obtained 49.31% of direct votes. So, they form the major opposition party with Berenger as the ― Leader of the Opposition‖.

For the purpose of promoting socialism, the MMM principles are there. T hose  principles are existing to advocate a fairer and more democratic Mauritian society. And those are free from discrimination which is because of social class, gender, religion, community, caste, race or sexual orientation.

LABOR PARTY IN MAURITIUS

The Mauritian Labour Party is a centre-left social-democratic political party in Mauritius. It is one of the three main Mauritian political parties along with the Mauritian Militant Movement and the Militant Socialist Movement. The Labour Party was founded in the year 1936 by Dr. Maurice Cure. The foundation of Labor Party was based on the British Labour Party with the vision and determination of promoting workers' rights and freedom as well as compensation including a higher wage rate with paid leaves. The movement was very much encouraged by 55 conferences. And those conferences were held by the leaders of the party throughout the country.There were some other goals also, which includes the initial resolutions to obtain suffrage for the working class, the prohibition of capitalist exploitation of sugar plantations, the 5 organization of a Department of Labour, representation in the Legislative Council, as well as the overall implementation of socialist values among Mauritian gov ernment agencies. The founders of the Mauritian Labour Party were Dr. Maurice Cure, Dr. Hassenjee Jeetoo, Pandit Sahadeo, Emmanuel Anquetil, Jean Prosper, Barthelemy Ohsan, Samuel Barbe, Godefroy Moutia, and Mamode Assenjee. The Labour Party remains the oldest major political party in the Republic Mauritius. This party forms a coalition government elected firstly in 2005 and lastly in the 2010 general elections. And, the

government is formed under the Labour Party Leader - Navin Ramgoolam. He has  been leading the party since 1991. But in the year 1955, Dr Maurice Cure died. And Emmanuel Anquetille became a leader of the party until he was imprisoned and sent to the island of Rodrigues for  making strikes and encouraging workers to form trade unions for the purpose of   better rights and working conditions. In the year 1958, Seewoosagur Ramgoolam marked a major history for the party which turned itself from the very basic principle for workers' rights to a new vision and policy. Moreover, the independence of the Country which was devastated with  poverty and famine led by the British Empire. Then in 1967, a constitutional agreement was made in parliament following the numerous conferences in Lancaster and London, United Kingdom. Coalition government including the Labour  Party, Muslim Action Committee & Independent Forward Block sealed the pact for  Independence. Then Labour Party led by Dr Ramgoolam, Satcam Boolell, Veerasamy Ringadoo, Harold Walter in coalition with the Muslim Action Committee led by Abdool Razack  Mohamed & the Independent Forward Block led by the Bissoundoyal brothers, Lall

Jugnauth and Anerood Jugnauth pushed a motion in the legislative council to  provide for an independent country announced for 12th March, 1968. There was the Hung parliament in the year 1976. It formed a coalition government with the Mauritian Social Democrat Party led by Sir Gaetan Duval. Then in the year  1982, the party had suffered from a several electoral defeat from the emerging MMM led by Paul Berenger & Harish Boodhoo. Then, Seewoosagur  Ramgoolam resigned to make way for the first elected MMM Prime Minister, Anerood Jugnauth. From 1983 to 1995, the Labour Party suffered various issues. It includes its electoral support from the population. In the year 1984, the members of the party proposed to the leader, Satcam Boolell to dissolve the Labour Party and to integrate the Militant Socialist Movement which was a new created political party and the majority party in  parliament. In the year 1995, the Labour Party came back in power with the support of the MMM. And, Navin Ramgoolam became Prime Minister. In the 2000 legislative elections, the party was a part of a coalition with the Mauritian Party of Xavier-Luc Duval, which won 36.6% of the popular vote and eight out of 70 seats. In 2005 elections, the party was part of the Alliance Sociale. It won 42 out of 

70 seats. In the general election of 2010, the party had formed the majority of L'Alliance de L'Avenir, which had regrouped the Mauritius Labour Party, the PMSD and the MSM. 6 The Alliance de L'Avenir won the general election with 41 seats against 18 seats for  L'Alliance du Coeur, which was being led by the MMM and 1 seat by the FSM. On 6th August, 2011 the Alliance broke. As a result of it, only the Mauritius Labour  Party, MR and the PMSD formed the government. The modern and effective goals of the Mauritian Labour Party are to guarantee equal opportunity to all citizens regardless of race, religion, sex, o r class and to secure a healthy and clean environment for future generations.

CONSTITUENCIES OF MAURITIUS Constituencies of Mauritius are the electoral boundaries of the Republic. T he country elects 60members of parliament for a period of 5 years. There are 21constituencies in the Republic each of them returning 3 members exceptConstituency 21 which returns two members only.Those electoral boundaries are considered to be main pillars for elections as they allow members of parliament to be elected and thus to form government. As it has been mentioned in the constitution, the Electoral Boundaries Commission will review the constituency boundaries. Electoral Boundaries Commission report shall make recommendations for any alterations to the boundaries of the constituencies as appea r to the Commission to  be required so that the number of inhabitants of each constituency is nearly equal as to the population quota that is the number of inhabitants of a constituency may be greater or less than the population quota in order to take account of means of  communication, geographical features, density of population and the boundaries of  administrative areas.

According to the ancient constitution before 1967, Mauritius was divided into 40 constituencies. This represented an elected member of parliament which would

elect a Chief Minister along with a council. The new Constitution was provided in 1992, but constituencies still remains moreover same, where many small 40 constituencies has been mixed to form a total of 21. The results showed members would be including twenty-four MPs of Hindu community, three Mps elected from the Muslims, one Mp elected from the sino-Mauritians and remaining 12 Mps were of  Christian group. The equality of representation thought ethnic groups which are 7 considered as very sensible subject and then government decided to amend the law and move it to a system of Best Loser was affected. The Best Loser System The method used in Mauritius to make sure that the minorities ethnic groups are well and equally represented in the parliament is the Best Loser System. Apart from 62 directly elected members, eight additional seats which are allocated for the  best losers who were candidates from the appropriate ethnic groups, namely the minorities was provided by constitution. The main build of Christians and Muslims with a small percentage of Sino-Mauritian are minorities. Political parties constitute the machinery for democratic control of political  power as they articulate and aggregate the interests of diverse groups in society and

form the basis of political pluralism. Seventy-two political parties registered for the July 2005 Mauritian general elections,2 but the three largest and most dominant ones are the Mouvement Militant Mauricien (MMM), the Labour Pa rty (LP) and the Mouvement Socialiste Mauricien (MSM). Interestingly, each of these three parties has been in an alliance with one or the other at different times, leading to the quasi domination of these three parties within the Mauritian political landscape. Findings from the external regulatory framework component of the study highlight the flexible nature of the Mauritian system and h ow the Electoral Commission and its ancillary bodies contribute to the good conduct of elections. While Mauritius has developed a strong ballot culture that is transparent and accountable, it still has a number of important democratic deficits. The first-past-thepost electoral system that is in place has important implications for party representation. The unfair nature of the system – as reflected by the disproportion  between the percentage of popular votes cast and the number of seats obtained in  parliament – has often been posited as an argument for change; but change seems difficult to bring about. Another major democratic deficit is the under-representation of women in the  political space, particularly in parliament. While Mauritius surpasses most other 

Southern African Development Community countries on a number of socio-economic indicators, the country is at the bottom of the list when it comes to women‘s

representation; and the 2005 general election appears to be another missed opportunity to address this imbalance.9

CHALLENGES AND OPPORTUNITIES OF MAURITIUS 1. These relate to improving gender representation in parliament and electoral reform, such that parties with a high level of votes are not left out, as is often the case under the present electoral system. 2. Another challenge that persists is the question of funding of political parties. Openings have been made by the Select Committee on Political Party Funding, which was chaired by the attorney general and the director of the

POLITICAL HEADS OF MAURITIUS

CULTURAL VARIATION AS A POLITICAL CHALLENGE

Man is gregarious, but he has to learn to live in togetherness. Mauritius is a country that guarantees equality within a welfare state system and a thousand actions taken to ensure the provision and enjoyment of equal opportunities. The constitution of the country does not believe in assimilation of minorities. We do n ot draw capital out of  the fact that there are minorities in the count ry. Every community‘s religious rights are respected. A Tamil‘s festival is as important as that of a Hindi speaking

Mauritian. Every Asian language has a radio or television channel. The principle of  equality provides recognition to every single culture in its own right. Mauritius has no lesson to learn from Europe or America, the Arab world or India in matters of  multiculturalism. Today it is going beyond the threshold of multiculturalism and

developing an ―intercultural‖ mode of peaceful co-existence. The intercultural can be

achieved only when we have gained mastery over multiculturalism. Hence, Multiculturalism has been a characteristic feature of the island of M auritius. Mauritian society includes people from many different ethnic and religious groups: Hindu, Muslim and Indo-Mauritians, Mauritian Creoles (of African and Malagasy descent), Buddhist and Roman Catholic Sino-Mauritians and Franco-Mauritians (descendants of the original French colonists).The basic dilemma of polytechnics societies can be expressed like; all members of a liberal democracy are entitled to the same rights and opportunities. Moreover, they also have the right to be different and in our age and day, the rights of minorities to maintain and to be visible in the public sphere and to promote their  cultural specificity, including the school, media curricula and so on, are increasingly emphasized on. CONTEMPORARY HISTORY OF POLITICAL PARTIES AND PARTYSYSTEM:Politics of Mauritius takes place in a framework of a parliamentary representative democratic republic, in which the President is the head of state and the prime minister is the head of government who is assisted by a council of Ministers .

Mauritius has a multi-party system. Executive power is exercised by the government. Legislative power is vested in both the government and the National Assembly. The absolute power is split between two  positions, the President and the Prime Minister. Mauritian politics is vibrant and characterized by coalition and alliance building. All parties are centrist and reflect a national consensus that supports democratic politics and a relatively open economy with a strong private sector. Alone or in coalition, the Mauritian Labor Party (MLP) ruled from 1947 through 1982. The Mauritian Militant Movement/ Mauritian Socialist 11 Party (MMM/PSM) alliance won the 1982 election, taking all 60 seats in Mauritius. In 1983, defectors from the MMM joined with the PSM to form the Militant Socialist Movement (MSM) and formed a majority in coalition with the MLP. The MMM and MSM rejoined in a coalition that won the 2000 elections and, although a handful of MPs defected from the MSM in early 2005, both parties went together to the next election in July 2005, competing against the Alliance Sociale, a MLP-led coalition. The Alliance Sociale won the elections with an overwhelming majority. In 2010, the MLP made a controversial alliance with the MSM, which is reported to have been decided since MSM's leader Pravind Jugnauth won the partial elections in

constituency No. 8 owing to MLP's leader's silent orders. The alliance again won the majority with a comfortable number of seats defeating the MMM's alliance with two other   parties. .EXTERNAL REGULATIONS AND ENVIRONMENT

External environment  – the regulatory, financial, political and electoral spheres in which political parties grow and function  – influences parties‘ strategies and organization. The external environment also has a fundamental impact on the capacity of parties to become more effective agents of democratization. Mauritius has a rather interesting and rich election tradition, with streets and bu ilding facades in each constituency strewn with banners, posters and plastic ribbons popularising the symbols and colours of competing  parties. This is no doubt an important part of the spin machine of parties and their  respective leaders as Mauritius follows the logic of political marketing and advertising. It ensures an electoral system where fairness and representivity were not forsaken, especially when it came to ‗correcting the over -representation of the leading party or  alliance‘ In Mauritius, Political representation is ensured through a fully competition

electoral process that is based on universal adult suffrage expressed by secret

 ballot. The age of voting is 18 years and over. POLITICAL RISK: FAIR ( MODEST)

 price checks, which add to price instability.

slowdown and government debt remains high. There was a in a circle of  monetary contraction in mid-2011 in light of inflationary pressures.12

 business environment. The World Bank lines Mauritius first among African nations. POLITICAL ENVIRONMENT OF MAURITIUS:

It is very difficult for a country to be governed by a franco- Mauritian , mr. Paul  berenger without any support from the majority racial group. As the Mauritian  population comprises majorly of ethnic Indians and the mixed race creoles are the second largest group within the country . Paul berenger, the previous prime minister of MMM( Mauritian militant movement )  party and Mr. Ramgoolam(the dominance) have also agreed upon redeveloping a

association again with the ex- president. Thus required the support of Mr. Jugnauth MSM who had set in motion his journey in politics by violating off from the Mauritian militant movement. Labour has believed on to its little preponderance and made happen as expected in attracting the other oppositions MPs to join its ranks. And these was don e when the other two parties were quiet confident that they could expel the prime minister . It‘s mostly echo and illumination as said by one long-time overseas observer of 

Mauritian politics says in conclusion that as per him Mauritius is quiet firm. INVESTMENT :

Since many more years Mauritius has laid down double taxation agreements with more than 30 countries among which india is the notable one and also few African countries. The taxation is layed down moreover on the offshore industry sectors which is capable of producing five % of gross domestic product . The average growth of GDP was found to be four percent during the crisis, and is likely to reduce further by half a point this year. 13 But the government‘s beliefs distinguish with the increasing uneasiness of the

residents who believe that the esteemed economic conditions and social harmony

of the country may be at risk. They feel that the country cannot adapt to the rapidly Changing conditions.

Due to well developed business of Maldives as well as Seychelles, Mauritius is facing problem in tourism sector. And the country has been failed to fill up the vacant beds of hotels. The predominantly drawn rear clients are of Europe. Many high class hotels are offering schemes, & pressurizing the islands position as a unique aspiration too. GOVERNMENT SPENDING

Government spending scale is non-linear, which shows that spending of government is penalized and is close to zero. On other hand if it exceed 30% of GDP it will receive worse score in quadratic fashion (example, four times less freedom is yielded by doubling the spending), so that only really large government spending -example over 58% of GDP — attains the score of zero. The countries with which Mauritius holds good relations are: - France - India - Britain

- South Africa Mauritius being the member of commonwealth has acknowledged Queen Elizabeth II to be the holder of the crown of the state, unless it had achieved a republic in the year of 1992. MAURITIUS - FOREIGN RELATIONS

Mauritius in the hand have good economic collaboration with Britain and also take  pleasure in having a fine relationship with the same country. And thereby is blessed with noteworthy development and also with the techonological advances. The second largest source of finance to the Mauritius is India, which has established a good social as well as good traditional linkage with the country. India has dedicated a huge share of assistance to cultural ventures, (a library and language school opened in 1976) institute of Gandhi.14 Indian and the Mauritian political leaders have freshly made an appointment in the home country and they had formed several joint ventures, alliances majorly in fabric commerce. Thus can be said Other than the conventional, cultural and trade relations. Mauritius enjoys membership of:

-OAU -UN, -Commonwealth, -Nonaligned Movement. - IMF -European Development Bank  MAURITIUS POLITICAL MOBILISATION& POLITICAL PARTY

The three major parties that have dominated and are supposed to continue to dominate the Mauritian political landscape are the Labour Party (LP), the Mouvement Militant Mauricien (MMM) and the Mouvement Socialiste Militant (MSM; Bunwaree & Kasenally 2005). A fascinating feature of these parties is that for the  past thirty years or so these parties have all undergone several splits. The splits have generated new parties, most of them were existed for short-term; other gashes have been compelled by communal/ethnic desires, while still others have basically  become one-person or one-issue parties. Coalitions and association are also  persistent qualities of Mauritian politics, permitting particular parties or groups of   parties to preserve or access power (Kadima 2006).

INDUSTRIES IN BRIEF

It can interpreted from above that still few coalitions and corruption is in air within the nation if the business is to be done in sugar industry. Thus risk aversion scale is moderate . Clothing industry remain the principal company, with more than 46,000 workforce, and create up the next biggest component of GDP with SEVEN % which indicates that it hold the global business in export of about 50 % of the world. Most producers are of the neighbourhood. Ten big companies records of  about ninety % of the product manufactured. And for roughly 90 per  cent of production and, significantly, large portion of the products are  perpendicularly incorporated, manufacturing fabric and yarn along with apparel‘s.15

ECONOMIC CONDITION OF MAURITIUS AND OVERVIEW OF FINANCIAL MARKETS

Gross domestic product (GDP) means the value of all final goods and services  produced within a nation in a given year. It is not a measure of personal income. It also determines the consumption such as cost of materials, supplies and services used for the final goods and services. A nation's GDP at purchasing power parity (PPP) exchange rates is the sum value of all goods and services produced in the country Comparing the gross domestic  product of the Indian economy with the Mauritius economy it is approx. 4500 billion dollars in india which is quite better then Mauritius approx. 19 billion dollars. As the Mauritius is a small country with a limited population its GDP is less then india. Literacy includes the percentages for the total population, that is the males and females. There is no universal definitions of literacy. It means all the ability to read and write at a certain specified age. Low literacy, and less education , can impede the economic development of a country in the today‘s rapidly changing, technology-driven world.

Comparing the literacy ratio between the two countries, the Mauritius is far better than india which is only 74.04% compared to 88.5% of Mauritius. Thus with less population of  Mauritius the literacy ratio is in an increasing stage from year to year.

The inflation rate furnishes the annual percent change in consumer price compared with the previous year‘s consumers prices. Comparing the inflation rate of the two countries

the inflation rate in Mauritius was 6.5% in 2011 compared to india which was 8.9% in 2011. There was a great rise in the inflation rate in india in 2010 which is not so good for the country as price rises of all the goods and services. Thus the inflation rate has to be maintained to control the price rise. The GDP real growth rate gives GDP growth on the annual basis which is adjusted for  inflation and expressed as a percent. Comparing the growth rate of the two countries, india‘s

real growth rate 7.2% in 2011 and it was 4.1% in 2011 of Mauritius. The growth rate of india declined in 2011 as it was 10.4% in 2010 and thus the real growth rate of Mauritius is increasing slowly.  National estimates of the percentage of the population falling below the poverty line are based on sub-groups through surveys with the results weighted by the number of people in each and every group. Poverty vary considerably from nation to nation. Comparing the  population below poverty line of the two countries it was 10% in 2001 of Mauritius compared to 25% in 2002 of india which stats that there are about nearly one-fourth of   population below the poverty line in india and still it is continuously increasing and thus

government has to take enough measures to contol the poverty. The investment records total business spending on fixed assets, such as machinery, factories, dwellings, inventories of raw materials equipment which provide the base for the future production and is a measured gross of the depreciation of the assets. Comparing the two countries the investment of india was 32.8% in 2011 an it was 24.5% in 2011 of  Mauritius and it has decreased in 2010 compared to 2008 which was 39%. So more measures should be taken to make more investment.17 nemployment rate means the percent of the labor force that are having no jobs. Comparing the two countries the unemployment rate of india in 2011 was 9.8% and of  Mauritius it was 7.8%. The unemployment rate of india has decreased of india fron the revious year and thus measures should be taken such that more and more labor force should  be employed to decrease the unemployment rate. The unemployment rate of Mauritius was also stable during many years. Population gives an estimate from the US Bureau of the Census based on statistics from population census, or sample surveys pertaining to the recent past and on assumptions about future trends. The total population presents the overall measure of the potential impact of the country on the world and within its region. Comparing the population of two countries

there is a vast difference as the population of india is much more than Mauritius as india ranks second in the total population of the world. India‘s recent population is approx. 121

crores and that of Mauritius is approx. 13.25 lakhs. Public debt records the cumulative total of all government borrowings less repayments that are denominated in a country's own currency. Comparing the two countries the public debt of india in 2011 was 48.5% which was less than Mauritius which was 57.3% in 2011. The exports provide the total US dollar amount of merchandise exports on free on  board basis. Export means the goods and products of one country is being send to different countries for sale. The export of india in 2011 was 299.4 billion dollars which has much difference from Mauritius which has only 2.65 billion dollars. The imports provide the total US dollar amount of merchandise imports on a cost, insurance, and freight or free on board basis. It means the goods and products of other  different countries are brought to our country for sale. The import is also far better of india than Mauritius. The imports of India in 2011 were 461.4 billion dollars and that of Mauritius was 5.16 billion dollars.

Life expectancy at birth contains the average number of years to be lived by a group of people born in the current year, if the mortality at each age remains constant in the future. It includes the total population as well as the male and female components. The Life expectancy at birth is also a measure of overall quality of life in a country and summarizes the mortality at all the ages. Comparing the two countries the life expectancy at birth of india recently is 67.14 years which is less compared to Mauritius which has a life expectancy of  74.71 years. The death rate means average annual number of deaths during a year per 1,000  population at midyear and is also known as crude death rate. The death rate with only a rough indicator of the mortality situation in a country, also accurately indicates the current mortality impact on population growth. It is recently 7.43 in india and 6.73 of Mauritius. The birth rate means the average annual number of births per 1,000 persons in the population at midyear during a year and also known as crude birth rate. The birth rate is most dominant 18 factor in determining the rate of population growth. Recently it is 20.6 in india and 13.78 in Mauritius. Consumer price index (2005 = 100) in Mauritius was 137.23 as of 2010 and reached a maximum value of 137.23 in 2010 and its minimum value was 4.00 in 1963 and in india it

was 151.91 as of in 2010.

ECONOMY SYSTEM The economy of mauritius has evolved into a middle-income diversified economy with the growth in financial sector, industrial sector, and tourist sectors. Put simply, it's a growing economy and it has shifted from a predominantly agriculture based economy to an industrial one. The annual growth has been in the order of 5% to 6% from the last many time. This remarkable achievement has been reflected in more income distribution, lowered infant mortality, increased life expectancy and a much-improved infrastructure. The economy had also made reforms in sugar, tourism, textiles ,and in financial services, and the economy expanding into fish processing, hospitality, information and communications technology and in property development. The Investment into banking sector alone has reached over $1 billion. Mauritius, has been well poised in its strong textile sector to take advantage of the Africa Growth and Opportunity Act (AGOA). Also, To face the globalisation and a new economic environment the Government has taken several steps like. The High value-added, capital intensive and knowledge-based activities are on the list of priority. The Information Technology sector doing rapid changes so it will fit

for the next millennium. The aim of the Mauritius country is to make a centre for high-tech and software services.Area:2,040 sq. km. (787 sq. mi.); 500 miles in east of Madagascar, in ocean of india.