Author: Vinaye Dey Ancharaz.

Mauritius is an outlier among Sub-Saharan Africa. As a small island economy, with no natural resources, Mauritius economic survival rests crucially on an openness strategy pushed to its limits. This study focuses on trade, Foreign Direct Investment (FDI) and aid. Since Mauritius can no longer rely on preferential market access to sell its products, especially textiles, local firms need to be more competitive to survive and in this spirit, the government abolished the differential incentive scheme for non-EPZ firms by abrogating the Industrial Expansion Act. These measures enabled the clothing industry to restructure to meet the challenges posed by globalization generally, and by China, in particular.