AfrAsia Bank Limited - Mauritius - Corporate Banking, Private Banking and Global Business Solutions

Asia meets Africa in Mauritius

Thu, 04 Mar 2010 00:00:00 GMT

AfrAsia Bank Mauritius launches South African expansion drive in anticipation of new opportunities

AfrAsia Bank, the Mauritius-based bank that specialises in corporate, private and international banking, has announced the opening of two representative offices in South Africa with a view to capitalising on growing trade and investment between Africa and Asia.

Speaking at its Cape Town’s launch event on the 23rd of February and that of Johannesburg on the 25th of the same month, the CEO of AfrAsia Bank, Mr. James Benoit, brought to light the concept “Asia meets Africa” and talked about the super cycle of growth opportunities in Africa particularly with the startling impact of the dynamic duo of China and India.

The expansion of the South African base highlights fundamental changes in global financial and trading power –with Africa and Asia poised to have a bigger weight in the global economy. Incidentally, Mauritius, with its strategic advantages is not only well positioned to benefit from this trend but can also contribute to attract more investment into these two growing continents.

“Huge opportunities beckon and South Africa has an absolutely vital place in our strategic planning for us to be a truly regional bank that links Asia and Africa together seamlessly,” said Mr. James Benoit.

The Bank is already celebrated internationally for banking innovation and has strengthened its position as a conduit for banking services between the Indian Ocean region, Asia - specifically India - and Africa whereby reinforcement of its South African presence is top priority.

In his speech, Mr Anandrao Hurree, Charge D’affaires at the Mauritius High Commission in SA noted: “We see the establishment of AfrAsia Bank in the region as a strong sign of the confidence that the business community of Mauritius places in the potential that can be tapped from the countries in the region. I am equally pleased that AfrAsia has been bold to leap into the regional market to offer sterling services to the business community of the region through an experienced team, an array of specialised services and a solid reputation in the banking network”.

As enlightened by the CEO, James Benoit, Mauritius is recognised to be a founding partner of COMESA, SADC, the Indian Ocean Commission as well as the African Union. These partnerships have undeniably promoted strong economic and cultural ties with both Africa and Asia which have in turn considerably increased trade opportunities with the two continents.

“Africa is becoming economically integrated with Asia whereby Mauritius is the ideal conduit for trade and investment flows. Trade facilitation between India and Africa is a growth area and AfrAsia Bank intends to capitalise on these opportunities through regional expansion, starting in South Africa. This is also in line with our strategic vision to be a reference point for corporate and investment Banking, private banking and global business solutions linking Mauritius and the Africa-Asia trade corridor by being closer to those markets.” explained Mr. James Benoit.

Project finance, residential property development and services in support of asset managers are additional growth areas between the two countries which will in turn contribute to strengthening the relationship with Mauritius-based bankers.

On the other hand, with its massive domestic market and huge export/import volumes, India, one of the bank’s strong connections, remains an attractive investment destination with growing appeal for South African asset managers whereby they can use AfrAsia Bank - a Foreign Institutional Investor (FII) licence-holder – to access Indian stock exchanges and benefit from fiscal incentives when diversifying international portfolios.

With its strategic geographic location, sound legal system, business and regulatory-friendly environment (ranked 1st by the World Bank for doing business in Africa) and 36 ratified Double Taxation Agreements DTAs), Mauritius is definitely becoming a second home for South African and international corporates looking for a springboard to Africa and Asia.

The country is now recognized as a leading regional financial centre, white-listed by the OEDC and is being used more and more as a platform for cross-border investments. Out of the 35 DTAs ratified todate, 13 are with African countries (South Africa, Botswana, Lesotho, Madagascar, Mozambique, Namibia, Rwanda, Senegal, Seychelles, Swaziland, Tunisia, Uganda, Zimbabwe). 3 other DTAs with Malawi, Nigeria and Zambia await ratification.

“The world banking crisis was no reason to put our plans on hold. The crisis confirmed that fundamental shifts are taking place, making the need for specialist Afro-Asian focus more vital. Opportunities are boundless into and out of Mauritius. We will be introducing more and more South Africans to these opportunities in the months to come,” added Mr. James Benoit.

From Left to Right James Benoit CEO AfrAsia Bank & Casper Troskie, Manager, South African Reserve Bank

AfrAsia to venture into FII - India Business

Mon, 23 Nov 2009 00:00:00 GMT

AfrAsia Bank has become the first domestic bank in Mauritius to obtain the Foreign Institutional Investor (FII) license from the Securities & Exchange Board of India (SEBI). This will enable the bank to provide a complete bouquet of service to its global business clients and facilitate their investments into Indian stocks and debt market using the sub-account route of FII. Presently only a few major international banks and also a few asset management companies provide this facility in Mauritius. AfrAsia Bank continues to efficiently execute its boutique banking focus for its corporate and institutional clients with a carefully selected and targeted range of customized products, services and delivery channels.

An FII is an institution established or incorporated outside India, which proposes to make investments in securities in India and regulated under the strict provisions of the SEBI. Sub-Account on the other hand means “any person resident outside India, on whose behalf investments are proposed to be made in India by a FII and who is registered as a sub-account under these regulations.” A foreign investor who does not wish to go through the full administrative hassle of applying and registering as an FII, may invest in India as a sub-account. This route has become one of the most utilised by investors to access the Indian market. It includes foreign corporates, foreign individuals and institutions, sovereign wealth funds, funds or portfolios established or incorporated outside India. There are less disclosure requirements and simpler documentation in the case of sub-account. Only one form is required to be completed, unless SEBI asks for constitutive documents. Moreover, it is the FII which applies to SEBI for sub-account registration. Eligibility criteria for sub-account registration are less stringent as compared to FII registration. Hence, the funds / entities which are not eligible for FII registration can be registered as sub-accounts, provided they are eligible for sub-account registration. For example, a fund that has been recently set up can invest in India as a sub-account of an FII although it cannot be registered as an FII.

"We are very pleased to have received SEBI’s approval and license. The Banking Industry is amongst the fastest growing sectors in the country and International business presents an interesting opportunity.” said James Benoit, AfrAsia Bank CEO. “It is not yet a crowded investment market here and we think that there is great merit in delivering solutions rather than just launch products. It is this investor centric approach built on customer oriented communication, long term relationships and enduring wealth creation that will seek to differentiate AfrAsia Bank. This is an important step in our strategy to tap the Indian market." reiterated Mr James Benoit.

AfrAsia Bank has also entered into a strategic tie up with leading ICICI Bank for providing custodial services in India to its clients. AfrAsia’s relationship with the largest private sector bank of India has grown in strength in recent months. To provide most professional and seamless service to clients at most competitive margin, AfrAsia has also put in place various relationships with some of the most reputed and efficient broking houses based in Mumbai. The Bank is now fast developing capabilities for other value added services related to this activity, which will come with personalized services for which the Bank has already carved a niche for itself.

AfrAsia partners with British Airways to 'FLY different!'

Tue, 17 Nov 2009 00:00:00 GMT

Port Louis, 16 November, 2009

AfrAsia Bank and British Airways today announced the launch of the first credit card mileage program in Mauritius, 'FLY different!'. Under this program, all AfrAsia Titanium MasterCard cardholders will enjoy a faster way to earn BA Miles towards reward flights under the British Airways Executive Club. AfrAsia's brand alliance with MasterCard for the first Titanium Credit Card in Mauritius is successfully followed by this unique partnership with British Airways (BA) to further promote the smooth world of travel and card use. With their everyday card spending cardholders can now easily get British Airways reward flights or cabin upgrades much sooner.

According to AfrAsia Bank CEO, James Benoit, this partnership with a world class airline is part of the Bank's commitment to superior customer service by delivering more rewards and enhanced lifestyle privileges to its Titanium cardholders who already enjoy an array of exceptional benefits.

"AfrAsia Bank is the first banking institution to secure such a partnership with BA and we are confident that this new deal will continue to provide a superior level of service for private banking clients who are high spenders and prefer the convenience of a credit card that earns miles directly with their card spending," Mr Benoit said. He further added that, "With our worldwide concierge service, travel insurance or airport VIP lounge accesses, AfrAsia has been a partner to the whole world of exclusive travel ever since the Bank launched its Titanium MasterCard program and continues to provide cardholders with unsurpassed benefits."

Thierry Arekion, from British Airways, said, "BA is exceptionally proud to team up with AfrAsia Bank to launch this new program which offers another way to earn BA Miles on top of flying. The synergy of the two brands will provide high standards of product offering to the Bank's exclusive clientele. Our Executive Club members are also invited to participate. This new opportunity will allow them to earn miles "different" and redeem for flights later."

With this partnership, AfrAsia Titanium cardholders can enjoy an array of exceptional benefits on top of reaping BA Miles. Those include:-

5% discount on British Airways air tickets
Accessing British Airways Executive Club Silver and Gold memberships faster with client's next ticket booking and completed flight in Club World and First Class respectively
Earning BA Miles faster with British Airways oneworld partners and participating hotels such as Hilton Hotel Family, Intercontinental Hotels or Starwood Hotels & Resorts
Chances to win 4 reward tickets to London. From 16 Nov 09 to 28 Feb 2010, for every Rs10,000 spent on an AfrAsia Titanium MasterCard per month, client will receive one entry into a draw where he/she can win 50,000 miles, which is equivalent to one reward ticket to London.

If there is anything as enjoyable as a shopping spree, it is getting back some of the money in the form of redeemable points for cabin upgrades or reward flights! We see our partnership with British Airways as a key step in servicing and supporting our client base. AfrAsia's Titanium MasterCard does not only offer greater value and benefits but also rewards your everyday spending," further added the CEO of AfrAsia Bank.