TAU SA supports various countries’ concern over the threat that the situation in South Africa holds for foreign investment.
The Sunday Times reported recently that the embassies of the United States, United Kingdom, Netherlands, Germany and Switzerland had sent a memorandum relating to corruption, property rights and the commitment to the rule of law and honest and ethical business practices in South Africa directly to President Cyril Ramaphosa.
Upon closer investigation it was found that the memorandum was actually a discussion document put together by these five countries (representing about 75 per cent of the foreign investment in the country) in June 2018. The countries warned Ramaphosa that his foreign investment tours would suffer if the government’s policies and the rule of the law weren’t applied more strictly and more consistently in South Africa.
The memorandum states that these countries are concerned about the safety of foreign investment and property rights. It also refers to specific problems such as black economic empowerment requirements, intellectual property, continued changes to the mining manifest and property rights.
It is shocking that the Department of International Relations and Cooperation chose to focus on the fact that the wrong protocol was followed, instead of taking note of the serious concerns of these countries, after the report appeared recently.
TAU SA, however, welcomes these countries’ support of South Africa as a country which upholds the rule of law and is safe for investment. In the light of this, TAU SA will now launch a campaign to request other countries and international players to put further pressure on the government.
The campaign stems from a decision of the ANC to follow a policy where land will be expropriated without compensation. It is a direct threat to the core principles of property rights.
TAU SA will follow this four-point strategy:
TAU SA will –
1. fight land expropriation without compensation in the highest court;
2. seek to strengthen international liaisons, with the goal of putting pressure on the South African government;
3. improve and expand the safety structures it has in place; and
4. mobilise the public, business sector and media to support its case and to put internal pressure on the government.
