June 17, 2021

National Budget 2021/2022 - Small Medium Enterprises (SMEs), Mid-Market Enterprises (MMEs) and Entrepreneurship

- To support SMEs the Government will:

 

  • Sustain the payment of wages through the financing of the salary compensation of Rs 375 monthly for fiscal year 2021/22.
  • Extend the exemption on trade fees not exceeding Rs 5,000 for an additional 5 years.
  • Grant an amnesty on trade fees and related penalties and interests that were due before 1st January 2020.
  • Extend the Tax Arrears Settlement Scheme for SMEs up to December 2021.
  • Increase the total maximum grant across all schemes implemented by SME Mauritius Ltd from Rs 150,000 to Rs 200,000.

 

- To encourage large manufacturers to procure from SMEs, a 110% deduction will be allowed on the taxable income for the direct expenditure incurred on the purchase of products manufactured locally by SMEs.

 

- The Development Bank of Mauritius (DBM) Ltd will:

 

  • Provide a rebate of up to 30% on the annual rental of industrial space to SMEs engaged in the manufacturing sector over the next 3 years.
  • Construct an SME Industrial Park of 5,000 square metres at Solferino in addition to Plaine Magnien and Vuillemin.
  • Allocate 20% of spaces in these upcoming parks rent-free to start-ups for the first three years of operation.

 

- SMEs will also be eligible to the following loan schemes from the DBM

 

- The Government will also support SMEs and Mid-Market Enterprises who have been impacted by the current crisis. To this respect, the DBM will earmark an amount of Rs 1 billion to provide loan facilities of up to Rs 5 million to retailers with turnover of up to Rs 250 million at a concessional rate of 3.5% per annum.

 

- The EDB will set-up an online marketplace for start-ups to showcase their products and services.



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