Mauritius

The Mauritius authorities have indicated their interest in formalizing and making the resolution and crisis management framework more efficient. Following extensive TA provided by Fund staff on bank resolution and crisis management, the following priorities were identified: ? Formally designate which administrative bodies are to be responsible for the resolution of individual financial institution failures, as well as for the various forms of financial and mixed groups; ? Refine the existing legal framework for early intervention and triggering resolution; ? Adopt new legal powers to support timely and effective resolution of systemically important banks; ? Issue guidance to banks to routinely prepare recovery plans for dealing with potential shocks to their capital and/or liquidity, and to review and provide feedback to banks on those plans; ? Prepare resolution plans for banks and their groups; ? Identify and remedy impediments to timely and effective resolution of banks;? Submit Deposit Insurance Scheme (DIS) legislation to parliament; ? Adopt a formal policy framework for emergency liquidity assistance (ELA); ? Specify the role of the Financial Stability Committee (FinStab) in resolution activities; and ? Put in place cross-border cooperation arrangements with relevant foreign supervisory and resolution authorities.