Mauritius
Banking sector profile — Sub-Saharan Africa
Data as of September 2026 • TGB Intelligence Unit
Banking sector at a glance
Structure and performance
Mauritius has 18 licensed banks, a mix of domestic and foreign-owned institutions, with domestic-owned banks holding around 80% of total assets. Banks account for nearly 90% of domestic financial sector assets. Four banks are designated domestic systemically important: The Mauritius Commercial Bank, SBM Bank (Mauritius), Absa Bank (Mauritius) and AfrAsia Bank. The Herfindahl–Hirschman index rose to 1,844 in December 2025, indicating a moderately concentrated market in which the two largest D-SIBs hold a significant share of assets.
The sector's scale reflects the island's role as an international financial centre. Banking assets rose 6.1% to about Rs2.8tn in December 2025, roughly 380% of GDP, and reached Rs3.09tn in July 2026. Non-resident assets made up 52% of the total, and foreign-currency deposits, largely linked to global business companies, totalled US$30bn, or 65.1% of deposits. Foreign-currency assets and liabilities are closely matched, at 64.5% of assets and 68.7% of liabilities, limiting open exchange-rate exposure.
Capital and liquidity buffers are sound. The CET1 ratio eased to 16.8% and the capital adequacy ratio to 18.8% in December 2025, both well above minimums, with all four D-SIBs meeting their surcharges. The consolidated liquidity coverage ratio was 269.1% and the foreign-currency LCR 186.2%. Asset quality improved, with NPLs falling 3.6% to Rs41bn and the NPL ratio declining to 3.3% from 4.0% six months earlier. Pre-tax return on assets rose to 2.3% and return on equity to 18.6%.
Risks centre on property-related credit, external shocks and cross-border funding. NPL ratios reached 12.7% in construction and 11.9% in real estate activities in December 2025, and household repayment capacity shows early signs of strain. The Middle East conflict has raised energy and freight costs, prompting a Key Rate increase in May 2026; headline inflation was 4.0% in July 2026, with the Bank projecting about 5% for the year. The 2026 failure and licence revocation of Silver Bank tested the resolution framework.
Structural trends
The shifts shaping banking in Mauritius.
Cross-border business dominates: non-resident assets were 52% of banking assets in December 2025, and foreign-currency deposits reached US$30bn, 65.1% of total deposits.
Asset quality is improving overall: the NPL ratio fell to 3.3% in December 2025 from 4.0% six months earlier, as NPLs declined 3.6% to Rs41bn.
Property-linked credit stress is rising, with NPL ratios of 12.7% in construction and 11.9% in real estate activities in December 2025.
Monetary policy has turned tighter: the Key Rate rose 25bp to 4.75% in May 2026 in response to energy-driven inflation risks, and was held in August.
Leading institutions
Largest banks in Mauritius by total assets.
| # | Bank | Total assets (US$) | Type |
|---|---|---|---|
| 1 | MCB Group | US$23.0bn | Universal |
| 2 | SBM Holdings | US$9.2bn | Universal |
| 3 | AfrAsia Bank | US$6.3bn | Commercial |
Total assets, latest audited FY2025 (MCB Group and AfrAsia: 30 June 2025; SBM Holdings: 31 December 2025), group figures, converted at the respective year-end rate
Supervision and capital rules
The Bank of Mauritius licenses and supervises banks under the Banking Act 2004, while the Financial Services Commission regulates non-bank financial institutions. Banks must meet risk-based capital requirements, with additional surcharges for the four domestic systemically important banks, and minimum liquidity coverage ratios of 100% in aggregate and in foreign currency, together with net stable funding requirements. The Mauritius Deposit Insurance Scheme, established under the MDIS Act 2019, became fully operational on 14 June 2024; it covers up to Rs300,000 per depositor per member institution and is administered by the Mauritius Deposit Insurance Corporation. In 2026 the Bank used its Banking Act powers to place Silver Bank into receivership and revoke its licence, and opened consultation on a Digital Rupee.
What changed in 2026
- In March 2026 the Bank of Mauritius ended the conservatorship of Silver Bank Limited, in place since February 2024, and appointed a receiver after no complete acquisition application was received.
- In April 2026 the Bank of Mauritius revoked the banking licence of Silver Bank Limited with effect from 30 April 2026.
- In May 2026 the Monetary Policy Committee raised the Key Rate by 25bp to 4.75%, citing energy supply and price shocks from the Middle East conflict.
- In August 2026 the Bank kept the Key Rate at 4.75% and released a public consultation paper on a central bank digital currency, the Digital Rupee.
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