The Prime Minister was speaking at the inauguration of the new Headquarters of the Bank of Mauritius (BoM) last week in which he underscored the role of the Central Bank as the heart of the financial sector in the domestic economy.

“The competitive edge of a small country like Mauritius to a great extent depends on the quality of its institutions. In this respect, the Central Bank has a critical role to play," he said.

Ramgoolam pointed out that the efforts of the BoM are already bearing fruits as reflected in the quality of the balance sheets of banks and the numerous expressions of interest by large international groups to enter the banking sector in Mauritius.

He cautioned that the country should always be on the alert for any short-term risks that may arise at any time adding that Mauritius should continue in its efforts to adhere to internationally accepted standards and codes.

According to Ramgoolam, over nearly four decades, the BoM has successfully created the appropriate market environment for a growing and dynamic financial sector. It has helped to build an investor base, encourage the supply of financial instruments and modernised the payment and settlement system. It has also ensured a liquid market and improved access to new sources and skills for management of capital and debt.