Investment sectors in Seychelles

Blue Economy

Seychelles is a global biodiversity hotspot comprising of 115 islands in the Indian Ocean. As an island nation that depends almost entirely on its ocean, it has become a prime example of a country that has embraced the Blue Economy. The original Blue Economy sector by Gunter Pauli was to look for the best nature-inspired technologies to shift society from scarcity to abundance by tackling environmental and other problems in new ways.¹ Sustainability is central to the success of the Blue Economy concept and this has multi-sectoral implications. To better coordinate the approach of the Blue Economy concept, the Department of the Blue Economy was established in 2015 and it has been promoting the sustainable use of marine resources as well as coordinating its approach for the usage of the Exclusive Economic Zone (EEZ). Any business activity within the EEZ will be developed according to the Seychelles Marine Spatial Plan and will have to reflect sustainable use of marine resources. Seychelles has developed a Blue Economy roadmap, which defines how Seychelles will make maximum use of its 1.358 million square kilometres of ocean in the most sustainable manner possible. This comprehensive roadmap covers the whole spectrum of potential resource. Seychelles recently hosted the Blue Invest Africa conference in 2022, where European and African companies met to exchange ideas, business strategies and investments related to Blue Economy. Blue Invest Africa is one of the few international settings which gather innovators and entrepreneurs to collaborate on the Blue Economy. In addition to participants from Europe and Africa, start-ups and companies from Asia and America were in the Seychelles for the event.

Tourism

Since the opening of the Seychelles International Airport in 1971, the tourism sector has been central to the Seychelles economy.  The natural beauty of the 115 islands as well as the unique creole culture have not only attracted a growing number of visitors but have also caused the islands to be a magnet for regional and international companies looking to invest in the sector. Europe remains one of the Seychelles’ primary markets, with the highest number of visitors from Germany, France, and the UK. The Seychelles has also seen an increased number of arrivals from Italy, Israel, India, Switzerland, Russia, South Africa, and the United States of America. Although the tourism sector was severely affected by the COVID-19 pandemic in 2020, it picked up rapidly with Seychelles reopening its borders. The Ministry of Foreign Affairs and Tourism aims to have 258,000 visitors by 2022. A total of 91,195 visitors landed in quarter one only.The comparative performance of tourism in the Seychelles in the last few years is an excellent indicator of the future in store for the country’s tourism sector, with increased visitor arrivals, government revenue, and a contribution to output, employment, and tourism earnings.Tourism Seychelles hosted a roadshow in three Indian cities from July 31 to August 4, 2023. The event, held in Mumbai, Delhi, and Ahmedabad, aimed to strengthen Seychelles’ connection with the Indian travel industry. Coming after challenging years for tourism, the roadshow brought together key partners for personalised meetings with over 180 top travel agents and operators across India. The Seychelles team, joined by Air Seychelles, along with DMCs like 7 South and Holidays Seychelles, and hotels such as Berjaya Beau Vallon Bay Resort & Casino, Club Med, Hotel Raffles, Silver Pearl, Savoy Seychelles Resort & Spa, and Coral Strand Smart Choice Hotel, showcased the destination’s offerings. Air Seychelles together with Tourism Seychelles took part in OTM, India’s most important international gathering involving travel trade buyers and tourism professionals from India and across Asia in 2022.

Agriculture

Seychelles aims to increase the national raw food output and raise the visibility of the sector to attract more investments. This momentum is being driven by the recently launched Comprehensive Agricultural Development Plan drawn from the sector’s strategic framework document known as the Seychelles National Agricultural Investment Plan. Due to limited agricultural land on the islands, Seychelles aims not only to improve on traditional farming methods but also to encourage innovative modern farming techniques such as hydroponics and vertical farming to maximize land use. Therefore, investment opportunities Seychelles’ Agricultural sector include indoor farming techniques such as vertical farming, hydroponics and aeroponics. On October 13, 2023, the government of India approved the export of 800 tonnes of non-basmati white rice to Seychelles through the National Cooperative Export Ltd (NCEL). The government of Seychelles had approached the High Commission of India in Victoria in September 2023, requesting a relaxation of the export restrictions on non-basmati white rice procured by the Seychelles Trading Company (STC). This request was promptly granted, emphasising the cordial trade relations between the two countries and recognising the importance of food security in Seychelles.

Renewable Energy

Renewable Energy (RE) plays an increasingly important role in the Seychelles economy. The overall goal is to not only mitigate the effects of climate change but also strengthen our energy security. It is an area that will drive local industries, local and foreign investments as well as create job opportunities. However, given our small size and limited land, RE projects especially of utility-scale will be implemented through a competitive process. At present, the only renewable energy installation is a 4 MW wind farm off Port Victoria and a limited amount of rooftop PV installations. On the sidelines of COP27 in November, 2022, Seychelles signed an agreement with the International Solar Alliance (ISA) for a project to set up 5 metric tonnes solar-powered cold storage on La Digue Island, which was inaugurated during Minister Joubert’s visit to New Delhi in October-November 2023.

Hotels and Hospitality

Seychelles is a popular tourist destination and has a vibrant hospitality industry. The hospitality companies in Seychelles offer world-class accommodation, dining, and recreational facilities to visitors from all over the world. From luxury resorts to budget-friendly hotels, Seychelles has a wide range of options for every type of traveller. The hospitality companies in Seychelles also offer various water sports, spa services, and other recreational activities to enhance the guests’ experience. The companies’ focus on providing exceptional customer service and ensuring that guests have a memorable stay in Seychelles. Overall, the hospitality industry in Seychelles plays a significant role in boosting the country’s tourism and economy. Seychelles is open to all investors and despite its small size, the country offers unlimited opportunities for investment and business in different sectors, with market opportunities in the COMESA and SADC countries. Tourism Seychelles organised two exhilarating familiarisation trips tailored for the Indian travel trade and media partners in 2024. Held in May, during the peak tourist season, these adventures showcased the rich local experiences and unmatched hospitality of Seychelles. The trips aimed to amplify the allure of the islands, ensuring that the stories and promotions created reflect the true essence of this paradise.

Information and Technology

Seychelles has always been among the leaders in the region with respect to the deployment of ICT. Seychelles was rated as the second-best country in information and communication technology (ICT) development in the African region as per the International Telecommunication Union’s ICT Development Index, with a mobile penetration of almost 100%. Due to its relative geographical isolation, continued connectivity is a key issue and therefore, the Government of Seychelles along with private partners has started the project to bring a second fibre optic cable to Seychelles in order to strengthen its current infrastructure. As part of the efforts to develop the ICT sector, the government of Seychelles has published a National ICT Policy that seeks to promote the use of ICT in all sectors of the economy of the country. The Central Bank of Seychelles has launched its electronic fund transfer system to be in line with its objective to modernise Seychelles’ payment systems. An important aspect of bilateral cooperation revolves around various development assistance programs extended to Seychelles under ITEC, ICCR and IAFS. Over 1% of the local population form part of ITEC alumni who have benefited from various training courses under the ITEC program.

Defence

The 9 editions of the India-Seychelles biennial joint military exercise “LAMITYE” have been held and the 10th edition is to be held in 2024. INS Darshak carried out Hydrographic and Bathymetric survey of Port Victoria, Praslin and La Digue from 30th December 2019 to 18th January 2020. India handed over Fast Patrol Vessel SCG PS Zoroaster to Seychelles Coast Guard in April, 2021. Two ceremonial guns and ammunitions were also gifted on request of the Government of Seychelles in May, 2022. INS Trishul and its marching contingent proudly participated in the National Day celebration of Seychelles in June 2023. INS Sunayna visited Seychelles to participate in the “Operation Southern Readiness” under Combined Maritime Forces in July 2023. INS Sharda visited Seychelles on November 6-14, 2023 to participate in the IONS Maritime Exercise IMEX-23. Seychelles Coast Guard PS Zoroaster participated in MILAN 2024 at Vizag in February 2024 and proceeded for its short refit. INS Tir visited Seychelles from 24 February to 8 March 2024 to participate in Exercise Cutlass Express and to hand over serviced Dornier Engines and spares for SCG.

Marine and Fisheries

Fisheries is the second most important sector after tourism in the Seychelles, contributing to 20% of the GDP and employing 17% of the population, according to the World Bank. The Seychelles Fishing Authority (SFA) in partnership with the Seychelles Conservation and Climate Adaptation Trust (SeyCCAT) recently completed a survey of the artisanal elasmo branch (sharks, rays and guitarfish) catch. This entailed an intensive 12-month survey of the 2023 catch focused on the main Victoria market and landing sites around the North of Mahe. Leading the management and conservation efforts is the Seychelles Fishing Authority (SFA), a government agency dedicated to ensuring sustainable fisheries practices. Recognizing the importance of well-managed fisheries, the SFA has developed the Fisheries Information Management Systems (FIMS) as a powerful tool to collect, organize, and analyze fisheries-related data. The future prospects for the Fisheries Information Management Systems (FIMS) in Seychelles are promising. As technology advances and new tools emerge, FIMS is well-positioned to integrate more data sources and expand its functionalities. The SFA aims to enhance FIMS by incorporating emerging technologies such as remote sensing, artificial intelligence, and predictive modeling. This will enable more accurate assessments of fish stocks, improved monitoring of fishing activities, and better forecasting of environmental changes. Furthermore, the SFA plans to collaborate with regional and international partners to share data and best practices, ensuring that FIMS remains a robust and effective tool for sustainable fisheries management in Seychelles.

Medical Tourism

As the medical tourism industry continues to expand, healthcare providers are exploring diverse target markets to attract patients from specific countries. One such market with tremendous potential is Seychelles, an archipelago nation in the Indian Ocean. Patients from Seychelles also seek healthcare providers who understand and respect their cultural beliefs and practices. Accommodating their cultural preferences, such as dietary requirements or religious observances, can significantly enhance the patient experience and contribute to better health outcomes. Government of India has relaxed visa rules for emergency medical treatment in India. Those visiting India on any Indian visas including Tourist Visa, Business Visa can freely avail outpatient medical treatment not requiring hospitalization. In case of emergency hospitalization, a medical certificate from recognized hospitals (Government hospitals, Nationally Accredited private hospitals, CGHS recognized private hospitals) certifying requirement of medical treatment involving hospitalization should be obtained and submitted to concerned Indian FRRO for obtaining written permission for stay up to 180 days. In case of hospitalization for more than 180 days, FRRO will issue ‘medical visas’. It will be the responsibility of the concerned hospital and the patient to obtain such special permission for medical treatment. In all such emergency medical treatment cases, accompanying dependants/family members on Tourist, Business or Education visas need not obtain “Medical Attendant” visas. Those foreigners on long term ‘Entry’, ‘Student’ or ‘Employment’ visa do not require any special permission for any medical treatment or hospitalization.

Connectivity

Seychelles is roughly 3,794 kilometres away from India, with some variations depending on your starting location in India and exact destination in the archipelagic island country. This seemingly large figure, however, is nothing more than a number, especially when you remember that the flight time from India to Seychelles is hardly a few hours. There are different modes of transportation to travel from India to Seychelles. The most popular way to get from India to Seychelles is by air. There are a few flight operators that connect different Indian cities to Seychelles. One will find both direct flights and connecting ones, from numerous places in India to a number of islands in Seychelles. There are a total of 15 airports in Seychelles, with many more helipads. One must not be led into thinking that international flights operate from all, as there is only one international air base here – Seychelles International Airport on Mahé Island. All other airports are for domestic flights, chartered aircraft and private jets only. The flight time from India to Seychelles is contingent on the Indian city you are flying from. The only direct route that exists from India is from Mumbai, taking 4 hours and 25 minutes to reach Seychelles International Airport. Currently, Air Seychelles is the only carries operating a direct flight between the two countries. India’s largest domestic carrier, IndiGo Airlines plans to inaugurate flights to Seychelles in October 2024, as announced by the Seychelles Civil Aviation Authority (SCAA) in May 2024. IndiGo is anticipated to operate three weekly flights to the archipelago and is currently engaged in final deliberations with Indian authorities to obtain all requisite approvals. Simultaneously, discussions are underway with Seychelles authorities.

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