Obtaining a payment operator license in Mauritius: a legal and tax guide

Obtaining a payment operator license in Mauritius is advantageous for companies that need minimum barriers to entry, tax predictability and regulatory loyalty. Transaction technologies are becoming a key tool in the modern economy. Electronic transfers, digital wallets, international transactions are no longer a novelty, but an everyday necessity. To offer such services legally, companies need a special permit. It confirms that the organization complies with security, financial monitoring and data protection regulations. This authorization is called a payment license.

A payment system license in Mauritius allows for legal electronic settlement, digital wallet services, management of payment interfaces and acceptance of customer funds into an account. Failure to have such a license may result in prohibition of operations or denial of partnership by foreign counterparties. Registration status also plays a key role in building business reputation, opening access to the international financial system, simplifying interaction with banks and facilitating investment attraction.

Choosing where to register your business is a strategic decision. Payment system licensing in Mauritius has become in demand due to the combination of flexible legislation, optimal taxation and transparent regulatory procedures. Mauritius offers a legal framework grounded in the principles of British common law, which ensures clarity and predictability for international sponsors and financial services providers.

Overview of Mauritius as a financial jurisdiction

Mauritius is an island nation located in the southern Indian Ocean. It lies close to the coast of East Africa and is considered part of the African region. The country has an English-language common law, dating back to the British legal system. This makes the local laws understandable to international businesses. The country is small in size but has a strategic geographical location between Asia and Africa. Because of this, it is often seen as an entry point into regional markets.

The political situation in Mauritius remains stable. Elections are regularly held here, the parliamentary system works, there are no internal conflicts. The judiciary is independent. Investors consider the country as a safe territory for capital allocation and long term economic activity. The state is actively developing sectors related to export of services, information technologies and financial operations.

The economy of Mauritius is characterized by robust macro indicators. Public debt is moderate, inflation is controlled and financial institutions are supervised. The Central Bank ensures currency stability and monitors the banking sector. Non-banking institutions are supervised by a separate body, the Financial Services Commission. This is the body that issues licenses for payment systems in Mauritius and enforces rules related to the circulation of funds and customer accounts.

Mauritius is a party to international economic and trade agreements. It is a participant of such associations as South African Development Community and COMESA (Common Market for Eastern and Southern Africa), has bilateral agreements with India, China and a number of other countries. This increases access to external markets and reduces risks in cross-border activities. Licensing of the payment system in Mauritius simplifies access to foreign markets and reduces the tax burden due to international agreements.

These factors have combined to make Mauritius a popular choice for fintech companies and international digital payment operators to apply for a payment system license. The country offers a combination of regulatory transparency, political stability and flexible financial conditions.

Regulatory authorities and legislation in Mauritius

The payment infrastructure in Mauritius is regulated by the Central Bank of Mauritius (Bank of Mauritius, BoM). The authority is empowered to issue licenses, supervise settlement operations, monitor systemic risks and control compliance with financial security rules. The BoM operates under the Payment Systems and Services Act, which defines the terms and conditions for transaction platforms, digital asset issuers and fund transfer operators.

All procedures related to licensing of payment services in Mauritius go through the National Bank. The regulator conducts a comprehensive assessment, analyzing the submitted business model, shareholder structure, qualifications of key employees and the level of financial stability. Special emphasis is placed on the verification of technological solutions: platform reliability, protection of user information, fault tolerance and availability of emergency plans in case of failures.

The Authority has the right to conduct on-site inspections, assess documentation and suspend the authorization in case of violations. Payment market participants shall comply with the rules of record keeping, compliance, as well as BoM regulations on internal control and operational risk management.

Regulatory framework and governing documents

Before submitting an application, it is crucial to review the relevant legislation. In Mauritius, payment services are regulated by a comprehensive framework of legal instruments, laws, regulations, and directives. Adherence to these requirements is mandatory when applying for authorization to operate a payment system in Mauritius. Failure to comply with any of these requirements may lead to the denial of registration or the revocation of the license.

The Payment Systems and Services Act is the key law defining the rules of operation of settlement operators, e-money issuers and intermediaries. This document establishes the legal status of market participants, requirements for the stability of IT systems, data protection rules and technical interoperability procedures.

It is complemented by The National Payment Systems Act 2018, which lays down fundamental provisions for the establishment, management and modernization of the national settlement infrastructure. It regulates clearing centers, large transaction systems and the principles of network settlements between banks and non-bank operators.

Detailed licensing conditions are set out in the National Payment Systems (Authorization and Licensing) Regulations 2021. It describes license formats, application procedures, standard requirements for applicants, and criteria for assessing the technical and financial readiness of a payment platform.

The Companies Act remains the main legal act governing the registration, operation and liquidation of legal entities. It applies to companies applying for GBC status for subsequent application for a payment license.

All these directives are part of the mandatory set of requirements for payment system licensing in Mauritius. They relate to IT system architecture, level of data link protection, redundancy and security protocols.

Types of licenses related to the provision of transactional services

Payment services in Mauritius are regulated under the National Payment Systems Act 2018 and the Central Bank by-law 2021. Under these regulations, there are five main categories of authorizations. Each type of license has a separate legal framework, minimum foundation requirements and regulatory obligations.

1. Payment Service Provider. Basic license format for companies in Mauritius providing intermediary services between payers and payees. Includes settlements, transfers, card transactions and payment acceptance. Customer funds are not credited to the balance sheet of the organization. The authorized capital is 5 million MUR (approximately 113,600 USD).
2. Electronic Money Issuer (EMI). This license authorizes the issuance of electronic money, maintenance of wallets, storage of funds and provision of payment instruments. It implies a high level of supervision and strengthened requirements for the protection of customer funds. For large issuers - the minimum capital is also 5 million MUR (≈ 113,600 USD), for small issuers - 3 million MUR (≈ 68,200 USD).
3. Operator of a Payment System. This category includes organizations that manage the payment infrastructure. They are responsible for the smooth operation of payment platforms, interoperability of services and stability of the architecture. The minimum capital is 50 million MUR (≈ 1,136,000 USD).
4. Clearing System Operator. Clearing operators are engaged in reconciliation of mutual obligations of participants of transaction processes. Unlike a standard PSP, they are responsible for preparing transactions for settlement. The minimum capital is also 50 million MUR (≈ 1,136,000 USD).
5. Settlement System Operator. These organizations perform final settlement and transfer of funds between banks and other participants. They play the role of a settlement center and are subject to special supervision by the Central Bank. The required capital is 50 million MUR (≈ 1,136,000 USD).

The registration of a payment system in Mauritius can only proceed after selecting the appropriate type of license and confirming compliance with the necessary conditions. The applicant must meet requirements related to office presence, internal controls, data protection, and the holding of funds in a trust account. Failure to comply with any of these criteria grants the Bank of Mauritius the authority to refuse the license or amend its conditions.

Which companies are subject to license requirements

A payment system license in Mauritius is relevant for organizations that will provide virtual settlement services. It is required for those launching e-wallets, money transfer platforms, online gateways and mobile payment applications. Fintech companies, neo-banks, international payment providers and startups working with cross-border clients choose this solution. Incorporating an entity in the legal framework of Mauritius opens access to international markets and allows to build business activities with moderate tax regulations. Due to its geographical and economic position, the country provides convenient access to Asian, African and European destinations.

Requirements for obtaining a payment operator's license in Mauritius

Licensing is subject to strict regulations. There are a number of requirements to obtain a payment authorization in Mauritius. These include a defined corporate structure, sufficient capital levels, a prepared set of technical documents and a physical presence in the state. These elements are checked at all stages, from application to annual audit.

Legal form of a company

The establishment is initially registered as a standard legal entity with the Registrar of Companies (ROC). Subsequently, a separate application is submitted to the Financial Services Commission for Global Business Company (GBC) status. This status is essential for conducting international operations and applying for authorizations, including payment system licensing in Mauritius.

GBC requires compliance with regulations on management structure, appointment of resident directors, presence of an office and formation of accounts in the country. It provides access to tax benefits and is subject to separate regulations under the Financial Services Act and the rules for international businesses.

Directors, office and corporate secretary

To obtain a payment system license in Mauritius, a firm must meet the management and location requirements. At least two managers must be appointed. One of them must be a tax resident of Mauritius and qualified to make independent decisions.

The company's office must be located on the territory of the island. The presence is fixed in fact: the office must be staffed by full-time personnel. Partial outsourcing is allowed, but key functions must remain in-house. The appointment of a corporate secretary is also mandatory. This person must have local professional accreditation and the right to accompany the company's legal actions. Without this, the GBC management condition is considered to be unfulfilled.

The appointment of an employee responsible for monitoring doubtful transactions is mandatory. A compliance officer is also required. In some cases, these roles may be combined. If the organization issues digital money, an internal auditor and a risk management officer are required. The auditor should have formal accreditation.

What documents should be prepared

A request for a payment operator license in Mauritius is made through the submission of a detailed dossier, which includes information on the platform's technical implementation, business model and internal operations.

The package includes:

• Business plan for 3-5 years with forecast of profits, expenses and target markets.
• Financial models: cash flow statement, profit and loss forecast, capital structure.
• Capitalization document with proof of funds availability (bank statement or letter of guarantee).
• Description of organizational structure, including reporting lines, authority and roles.
• AML/CFT policies: customer identification procedures (KYC), risk assessment, transaction log.
• Regulations for internal risk management, control points and transaction monitoring.
• IT system architecture: platform description, data routing, protection and backup.
• Data security policies: measures to safeguard personal and financial information.
• Incident handling procedures, error logs, and disaster recovery policies.
• Agreements with key contractors (if outsourcing or use of external platforms is planned).

This set is supplemented by the company's incorporation and statutory documents. All information is submitted in English in the format prescribed by the Bank of Mauritius. Individual attachments may require certification by a licensed legal representative or Corporate Service Provider.

Technical support and data privacy

To obtain a payment service provider license in Mauritius, an organization must establish a robust technology platform. The regulator requires a robust IT infrastructure that meets security, privacy and business continuity standards. This condition is explicitly required by the Central Bank of Mauritius guidelines.

The main elements are server hardware, backup systems, encrypted communication channels and software modules for transaction monitoring. The platform should include means of protection against unauthorized access, an event logging system, control over user actions and storage of client data in encrypted form.

IT system architecture descriptions and data handling protocols are included in the application package when applying for a payment services license in Mauritius. A documented backup policy, disaster recovery and incident detection tools are also required. In the case of licensing e-money or KYC processing functions, the level of requirements is further increased.

The regulator has the right to request an on-site inspection to test the operation of systems under realistic conditions, including testing of access channels, event logs and storage of personal information. All components of the IT infrastructure shall be localized or located according to the access regimes required by data protection laws.

How to obtain authorization to operate a payment platform in Mauritius: step by step

Despite the jurisdiction's liberal reputation, the authorities clearly regulate the licensing processes. Understanding the sequence of obtaining a license for a payment institution in Mauritius - from application to authorization - allows the applicant to avoid delays and increase the chances of successful licensing.

Post-licensing responsibilities

Once a payment operator's license is issued in Mauritius, the firm must follow a number of procedures. First of all, it is necessary to register with the tax authority. This is necessary for the calculation and filing of corporate tax returns. The next step is to appoint authorized persons for financial monitoring and regulatory compliance. This can be an individual employee or a contracted organization.

Every year, the organization is required to undergo an external audit. This is conducted by a licensed auditor registered in Mauritius. It is also required to comply with current reporting requirements by submitting to the regulator details of transactions, audits and risk management activities. Customer and transaction data must be retained for at least seven years.

Taxation and benefits for payment organizations in Mauritius

Legal entities incorporated in Mauritius are considered residents with mandatory taxation on all worldwide income. Non-residents pay tax only on profits derived from local sources. The standard corporate tax rate is 15%. For firms exporting goods or operating in free ports, a reduced rate of 3% applies, subject to certain conditions.

GBL regime: tax preferences for multinational fintech companies

Organizations undergoing payment system licensing in Mauritius are usually granted Global Business Licence (GBL) status. They enjoy a partial tax exemption of 80% on a range of income, which reduces the effective tax rate to 3%.

To qualify for the tax exemption regime, an entity must demonstrate its genuine presence in Mauritius. This means that the company's activities must be managed from within the island. At least two directors must be appointed, one of whom must be a tax resident of Mauritius with professional qualifications. The company’s primary corporate account must be opened with a local bank and used for day-to-day transactions. All accounting records must be maintained within the country, and documents must be stored at the company’s registered office. Management must be conducted through a licensed administrative provider, and board meetings must include the mandatory attendance of local board members. Partial outsourcing is allowed only under full control of the company.

Other tax liabilities

Companies holding a payment service provider license in Mauritius must meet the following fiscal obligations:

• VAT: 15% on domestic supplies, with a number of exemptions for the financial sector.
• Corporate Social Responsibility (CSR) Fund: 2% of taxable income, with a minimum of 75% transferred to the state.
• Climate responsibility tax (CCR): 2% for companies with revenues of MUR 50 million or more (introduced from 2024).
• Customs duties and excise taxes: applicable on imported goods and on certain categories.
• Property and rental taxes: on real estate transactions.
• Salary taxes and contributions (CSG, NSF, training levy): mandatory for all employers.

Mauritius allows the use of unilateral tax credits to offset taxes paid abroad. However, if the 80% exemption is used, no such credit is possible.

More than 40 international treaties (DTTs) have been concluded to prevent double taxation. They require a Tax Residence Certificate (TRC) issued by the Mauritius Revenue Authorities (MRA).

Additional tax incentives

In addition to the GBL regime, Mauritius has sectoral tax vacations and reduced rates:

• Exemption for 8 years for innovation, pharmaceuticals, and environmental projects.
• 95% exemption on interest income of closed-end funds.
• Double deduction for R&D expenses, desalination and seawater use.

The taxation of payment systems in Mauritius offers predictability, flexible regimes, and incentives for the export of digital services. Organizations with a GBL license can benefit from a partial tax exemption regime, lowering the tax rate to 3% when real presence conditions are met. It makes Mauritius an attractive jurisdiction for international PSPs, EMIs, and forex operators seeking a reliable and transparent legal environment.

Accounting, auditing and banking in Mauritius

Financial transparency is a prerequisite for any organization that has obtained the GBL status. This is especially true for organizations undergoing payment system licensing in Mauritius. Supervisory authorities require not only compliance with technical regulations and legal standards, but also accurate record keeping. This is necessary to control the flow of funds, assess payment risks and comply with international standards.

Every organization with a payment service provider license in Mauritius is obliged to organize regular accounting records. It must be kept on the territory of the state. All primary documents, registers and records are kept in a registered office. International Financial Reporting Standards are applied, including IFRS. All data are drawn up in the national currency - Mauritian rupees.

The reporting period is 12 months. At the end of the reporting period, a full set of statements is prepared: balance sheet, profit and loss statement, and cash flow. The reports are submitted to the tax office and the Financial Services Commission. Documents are generated regardless of the amount of income or volume of transactions.

After registration of the payment system in Mauritius, the organization is subject to a mandatory external audit. It can only be conducted by a licensed auditor approved by the supervisory authority. The appointment of the auditor takes place at the stage of preliminary registration. Information about the auditor shall be included in the registration documents.

The results of the audit are submitted to the BoM together with the annual report. If irregularities are detected, inspections and time limits are imposed. Failure to report or manipulation of figures results in license revocation or fines. The regulator also has the right to require an interim audit if the company expands its operations or changes its ownership structure.

In addition to accounting reports, a company is obliged to submit tax declarations. All data is submitted electronically via the tax service portal. Simplified forms are not provided for. Even if there is no profit, a zero declaration must be submitted.

The financial institution also transmits operational reports to the BoM. This includes details of turnover, number of customers, transaction structure and foreign exchange details. Data on AML and KYC checks are sent separately. All records must be kept for a minimum of 7 years and be available for inspection.

It is impossible to obtain a license for a payment system in Mauritius without opening a current account in a local bank. This is a prerequisite to prove economic presence. The account must be active, used for settlements and capital storage. Its existence is verified during the licensing process.

The banking infrastructure on the island is stable with international payment flows. Financial institutions in Mauritius are SWIFT-connected, maintain multi-currency accounts and comply with compliance checks. A corporate account must reflect funds to cover operating expenses and to secure obligations to customers. Banks available include Mauritius Commercial Bank (MCB), SBM Bank (Mauritius), Bank One, AfrAsia Bank, and local branches of international groups. These institutions accept companies with GBC status and provide specialized support for financial and fintech structures.

Conclusion

The choice of Mauritius as a site for licensing a payment system is not just a step towards the global market, but a strategic decision. What matters here is not only tax attractiveness, but also the ability to build relationships with the regulator, take into account local legal peculiarities and ensure the transparency of the business model. The country provides the tools, but the result depends on the accuracy of preparation and understanding of details. At the same time, each stage - from company registration to reporting - is strictly controlled. Only by complying with all requirements can a payment system be licensed in Mauritius without the risk of rejection or sanctions.

Our professional team provides comprehensive support at all stages. We prepare documentation, cooperate with the Bank of Mauritius, advise on AML and tax issues, and organize banking services. Professional assistance shortens the timeframe, reduces outlays and increases the chances of success. Obtaining a payment system license in Mauritius is much easier with professional guidance.