In the wake of the global pandemic, economies worldwide have faced unprecedented challenges. For island nations like Mauritius, the economic implications have been particularly severe, given the country’s heavy reliance on international trade and tourism. This case study explores the strategic initiatives undertaken by Mauritius, focusing on the establishment of the Diplomatic Economic Intelligence Unit (DEIU), aimed at revitalizing the economy through targeted international outreach, particularly towards the African continent.
Background
Mauritius, known for its robust economic strategies and political stability, encountered significant disruptions during the COVID-19 crisis. The pandemic not only decimated its tourism sector but also exposed the vulnerabilities of depending heavily on European markets. With the traditional economic pathways constricted, Mauritius confronted potential economic stagnation and the urgent need for diversification.
Challenges
Economic Contraction: As European economies suffered, the demand for Mauritian exports dwindled, leading to an inevitable contraction in GDP and a spike in unemployment rates.
Over-dependence on Fossil Fuels: Fluctuations in fossil fuel prices had historically buffered economic shocks but posed long-term sustainability risks.
Need for Market Diversification: The reliance on traditional markets like Europe needed reevaluation, with the pressing need to explore new markets and opportunities.
Strategic Response: The DEIU Initiative
In response to these multifaceted challenges, the Mauritian government proposed the creation of the Diplomatic Economic Intelligence Unit (DEIU). This initiative was designed as a strategic pivot to leverage diplomatic channels for economic resilience, focusing primarily on untapped African markets.
Objectives of the DEIU
Market Diversification: By penetrating African markets, Mauritius aims to reduce its dependence on European economies and diversify its economic portfolio.
Crisis Management: Establish a framework to manage and mitigate future economic shocks, leveraging Mauritius’ diplomatic relations.
Sustainable Development: Promote sustainable business practices through the export of renewable energy technology and sustainable tourism models to African countries.
Operational Framework
Data and Intelligence Gathering: Collect and analyze economic data to identify potential markets and sectors for expansion in Africa.
Stakeholder Engagement: Collaborate with local businesses, government bodies, and international agencies to foster partnerships and joint ventures.
Policy Advocacy: Influence economic and trade policies that favor Mauritian economic interests abroad.
Implementation
The DEIU’s approach to implementation revolves around several strategic actions:
Establishing Presence in Africa: Set up offices in key African countries to act as hubs for trade and economic intelligence.
Capacity Building: Train Mauritian entrepreneurs and businesses on African market dynamics and cultural nuances.
Financial Strategies: Engage with international financial institutions and regional banks to secure funding for Mauritian businesses expanding into Africa.
Impact and Outcomes
Short-term Gains
Increased Exports: A significant uptick in Mauritian exports to Africa, particularly in sectors like textile, information technology, and renewable energy.
Job Creation: Boost in employment opportunities within Mauritius linked to the export sectors.
Long-term Benefits
Economic Stability: Reduced economic volatility from diversified markets and revenue streams.
Enhanced Diplomatic Relations: Strengthened ties with African nations, leading to mutual economic and political benefits.
Challenges and Risks
Political Instability in Target Markets: African markets vary widely in political stability, which could impact investment security.
Cultural and Operational Hurdles: Navigating diverse business cultures and regulatory environments in Africa requires adaptability and extensive local knowledge.
The Diplomatic Economic Intelligence Unit represents a bold step for Mauritius in reshaping its economic landscape post-pandemic. By turning to Africa—a region with burgeoning potential and increasing international focus—Mauritius not only diversifies its economic dependencies but also sets a precedent for how small nations can strategically leverage diplomacy for economic gain. The success of the DEIU will depend on continuous adaptation, robust stakeholder engagement, and an unyielding commitment to sustainable development principles. This initiative marks the beginning of a transformative journey, steering Mauritius towards a resilient and prosperous future.
In the 2019 Doing Business, Togo is the 11th African nation where launching a business is easy. The country made remarkable achievements, coming before most member States of the Organization for Economic Co-operation and Development (OECD) with a greater revenue. Indeed, in terms of procedures and delays needed to formalize a business, Togo is far above average recorded in sub-Saharan Africa and OECD’s 36 member States.
While according to the Doing Business, four procedures and 5.5 days are needed in Togo to make a business formal, the report states that it takes about 7.3 procedures and more than 23 days in sub-Saharan Africa to do so, and 4.9 procedures and 9.3 days in OECD.
In WAEMU, Togo which is the third country under the Doing Business, behind Côte d’Ivoire and Benin, is also the nation in the region to have implemented the most reforms over the period reviewed.
Gabon opposition leader Jean Ping has lodged a challenge with the country’s Constitutional Court, contesting the result of a presidential vote whose validity has been questioned at home and abroad.
Election results announced last week showed incumbent Ali Bongo beating Ping by a slender margin of fewer than 6,000 votes, sparking days of deadly riots in the capital, Libreville.
Jean Gaspard Ntoutoume Ayi, president of Ping’s communication team, said on Thursday that the opposition leader had asked the court to authorise a recount of the votes in a southeastern province, where Bongo won 95.5 percent of the vote.
“Ping’s demand is for a recount of the votes in the province of Haut-Ogooue, voting bureau by voting bureau,” Ayi told reporters
Results from the province, which is a heartland of Bongo, showed a turnout of more than 99 percent, compared with a nationwide turnout of 59.46 percent.
Having previously expressed doubts about the court’s independence, Ping was “very reluctant” to lodge the complaint, Al Jazeera’s Catherine Soi, reporting from Libreville, said.
“But he says he has to follow the law,” our correspondent added. “The government [also told him], ‘if you have a complaint you need to go to court. Without that we cannot move forward’.
“Now the judges have 15 days to either throw out the case or invalidate the results.”
Clear anomaly
“An analysis of the number of non-voters as well as blank and disqualified votes reveals a clear anomaly in the final results in Haut-Ogooue,” Mariya Gabriel, the head of the EU observation mission in Gabon, said in a statement on Tuesday.
“The integrity of the provisional results in this province is consequently compromised.”
Bongo, whose family has ruled Gabon for nealy half a century, hit back at the EU criticism on Wednesday, accusing the observation mission of bias.
“I would also have liked them to have noted some anomalies in the fiefdom of Mr Ping. If we are raising anomalies, we have to be clear, balanced and raise all the anomalies that have been noted,” Bongo told France’s RTL radio, in an interview broadcast on Wednesday.
Post-election clashes
Ping has previously described the election as fraudulent and has demanded a recount – a call echoed by Manuel Valls, prime minister of Gabon’s former colonial power, France.
Bongo has also accused Ping of “committing fraud” and said that only the Constitutional Court could order a recount.
Post-election clashes between Ping’s supporters and security forces resulted in the deaths of between 50 and 100 people, Ping said on Tuesday. The government’s official casualty count stands at three dead.
The parliament in the capital, Libreville, was also torched in protests over the result.
