Structuring your investments into Africa Ben Lim, CEO, Intercontinental Trust Ltd Mauritius

1. Structuring your investments into AfricaBen Lim, CEO, Intercontinental Trust Ltd Mauritius

2. Investment into Africa

3. Investment into Africa – Tax Haven

4. Using a traditional Tax Haven • African countries known to have high withholding tax rates • No Protection from Double Taxation Agreements • No Protection against Nationalisation or Confiscation of Assets 4

5. Investment into Africa via Mauritius

6. Why use Mauritius for Africa? • Mauritius is part of Africa • African Union • Common Market for Eastern and Southern Africa (“COMESA”) • Southern African Development Community (“SADC”) • Indian Ocean Rim – Association for Regional Coorperation (“IOR-ARC”) • Africa Growth and Opportunities Act (“AGOA”) • Excellent Double Taxation Treaties Network • Bilateral Investment Treaties • Convenient Time Zones / Good Air Connectivity • Dual Legal System – English & French

7. African Investment Funds • Mauritius is the favoured jurisdiction for incorporating African Investment Funds • African Development Bank (“ADB”) recommends Mauritius as an ideal location for the African Funds • Member of the International Organisation of Securities Commissions (“IOSCO”) • Over 600 Funds incorporated in Mauritius • Modern legislation covering CIS and Fund Managers/Advisers

8. Mauritius – Recent Awards

9. Europe • Belgium • Cyprus • Croatia • France • Germany • Italy • Luxembourg • Sweden • UK • Russia* • In Negotiation • Canada** • Czech Republic** • Greece** • Portugal** • Iran** • Burkina Faso** • Algeria** • Yemen** • Ghana** • Saudi Arabia** • Asia • Bangladesh • China • India • Malaysia • Nepal • Pakistan • Singapore • Sri Lanka • Thaïland • Vietnam* • Middle East • Kuwait • Oman • United Arab Emirates • Qatar • Africa • Botswana • Lesotho • Madagascar • Mozambique • Namibia • Rwanda • Senegal • Seychelles • South Africa • Swaziland • Tunisia • Uganda • Zimbabwe • Egypt* • Kenya* • Malawi* • Nigeria* • Zambia* • Caribbean region • Barbados Treaty Network: 36 DTAAs in force * 7 Treaties awaiting signature or ratification ** 10 Treaties being negotiated

10. DTAs with African Countries

11. Africa Europe • Belgium • Czech Republic • France • Germany • Ireland • Luxembourg • Portugal • Romania • Switzerland • UK • Madagascar • Mozambique • South Africa • Benin* • Botswana* • Burundi* • Cameroon* • Chad* • Comores* • Ghana* • Guinea Republic* • Mauritania* • Rwanda* • Senegal* • Swaziland* • Zimbabwe* Asia Carribean Region • China • India • Korea • Nepal • Pakistan • Singapore • Barbados Investment Promotion and Protection Agreements 20 Fully Operational, 13 *Awaiting Ratification

12. Investment Promotion & Protection Agreement (“IPPA”) • Covers every kind of asset • Includes concessions to search for, cultivate, extract or exploit natural resources • Non-Discrimination • Treatment of Investments. Compensation of losses owing to war / other armed conflict • Expropriation • Right to Compensation • Disputes between Investor and Contracting Party • Provision for International Arbitration after 6 months • Disputes between Contracting Parties • Provision for an Arbitral Tribunal • Retroactive

13. Corporate Vehicles • Global Business Companies (“GBC”) • Category 1 – Tax Treaty Company (“GBC1”) • Category 2 – Tax Exempt Company (“GBC2”) • Activities • Holding Companies • Investment Funds • Asset Management Companies • Private Trusts • Trading Companies

14. Set up a Mauritius Company • Incorporation • Two weeks • Regulated by Financial Services Commission • Re-domiciliation (Migration) • Most offshore jurisdiction allow companies to migrate out • Effective way to continue the company to Mauritius • Immediately after re-domiciliation, the company can take advantage of the • DTAAs • Investment Protection Agreements

15. Redomiciliation of Companies

16. Countries Allowing Re-domiciliation

17. Tax Residence • A Company is tax resident in Mauritius if it is either: • Incorporated in Mauritius; or • Managed and controlled from Mauritius • Conditions to obtain a Tax Residence Certificate (“TRC”): • Two local directors • Local company secretary • Local auditor • Board meetings chaired from Mauritius • Statutory records kept in Mauritius • Accounting records kept in Mauritius • Principal bank account in Mauritius • TRC country specific and renewed yearly

18. Tax in Mauritius • No Capital Gains Tax • No Profits on Sale of Shares • Maximum Corporate Tax of 3% (Most companies pay zero tax) • No Withholding Tax on payments from Mauritius • Advance Tax Rulings • Whitelisted by OECD • No Exchange Controls

19. Intercontinental Trust Ltd • Intercontinental Trust has been in existence for over ten years • Licensed and Regulated by the Financial Services Commission • Principals have been active in this industry for over 15 years • Over 100 staff • Active participation in the legal and regulatory reform process of the financial services sector in Mauritius • Among the leading Trust Companies in Mauritius

20. Services • Incorporation & Administration of Companies • Fund Formation and Administration • International Tax Planning • Trustee Services • Accountancy Services • Business Process Outsourcing 20

21. SAS 70 • Intercontinental Trust Ltd and its subsidiaries recently obtained their SAS 70 Type II certificate • Audit Report Unqualified by PricewaterhouseCoopers • One of the first trust companies to have SAS 70 Type II 21

22. Thank You