South Africa has persuaded the other members of the Southern African Development Community to align its protocol on investment with SA law, which gives foreign investors far less protection.
The South African government has “systematically undermined” efforts by other countries of the Southern African Development Community (SADC) to provide better protection for investors than South Africa does.
It persuaded them last year to bring the 2006 SADC Protocol on Finance and Investment into line with South Africa’s new Protection of Investment Act, which gives foreign investors far less protection.
Speaking at a recent seminar in Johannesburg South African investment lawyer Peter Leon described how the 2006 SADC protocol – which came into force in 2010 – provided about the same extensive protections for foreign investors as the original bilateral investment treaties (BITs) which SA had with 13 EU countries and Switzerland.
These included protection against expropriation or nationalisation of property without a public purpose, due process of law and prompt, market-value compensation; equal treatment of all foreign investors; facilitation of the repatriation of investments and returns; and recourse to international arbitration of disputes.
This story is from the 15 June 2017 edition of Finweek English.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the 15 June 2017 edition of Finweek English.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
THE HEALTH OF SA'S MEDICAL SCHEMES
As the Covid-19 pandemic abates, finweek takes a look at the financial performance of some of the largest players.
The effect of Gilbertson's departure
With Ntsimbintle Holdings now the major shareholder of Jupiter Mines, it could change SA’s manganese industry.
Making money from music
Why investors are increasingly drawn to the music industry.
Conviction is key
Sandy Rheeder plays a critical role in Mukuru’s mission to open up financial services to the emerging consumer market in Africa through tailor-made technology solutions and platforms.
The post-pandemic toolkit
How CFOs can use technology to support growth.
Big city living exodus
Mini cities like Waterfall City and Steyn City are redefining city-style apartment living.
Big compact, big value
Handsome, with a hefty level of standard specification, the roomy Haval Jolion compact crossover is a great value proposition.
On barriers to entry
There are various ways in which a company or sector can achieve competitive dominance. They usually make for good investments.
Fear and greed in one index
To buck the trend, when markets are hot or cold, is a tough thing to do. However, it can deliver solid returns.
Africa's largest data centre facility coming soon
Vantage Data Centers plans to invest over R15bn for its first African data centre facility in Attacq’s Waterfall City.