Germany wants investor assurance from SA
Fin24

Germany wants investor assurance from SA

2014-11-21 18:31

Pretoria - The German foreign minister expressed concern about the protection of German investments after South Africa cancelled a bilateral agreement regulating questions such as taxation and eventual expropriations.

Foreign Minister Frank-Walter Steinmeier told journalists in Pretoria on the second day of his visit to the country that Germany needs a "clear message" that South Africa can provide an "investment-friendly environment".

Foreign Affairs Minister Maite Nkoana-Mashabane said about 600 German companies were expanding their activities in South Africa and that they had "nothing to fear," adding a promise to review German concerns.

South Africa has been cancelling agreements signed under the 1948-94 apartheid regime, according to German diplomatic sources.

Steinmeier said it was unclear whether South Africa would replace bilateral investment protection agreements.

German companies have investments worth billions of euros in South Africa in fields including electronics and the car industry.

South Africa is Germany's top economic partner in sub-Saharan Africa, while Germany is South Africa's top trading partner after China.

Steinmeier also stressed South Africa's importance as a mediator in regional conflicts as he downplayed the threat of political debate.

The country had a "peace builder" role in countries such as South Sudan and the Democratic Republic of Congo, Steinmeier said.

He also expressed confidence that growing domestic criticism of the ruling African National Congress (ANC) would not destabilise the country.

Heightening scrutiny on ANC is a normal part of civic debate, Steinmeier said, making reference to criticism of President Jacob Zuma over a $20m upgrade to his rural homestead.


Comments
  • Erik Grobbelaar - 2014-11-21 18:36

    Whenever a cadre says "you have nothing to fear", I become worried! Usually when their lips move, there's a lie spoken ......

      Antinewstf Person - 2014-11-21 19:37

      Just give them a bribe and it will be an investor friendly environment

      Tony De Wijn - 2014-11-21 19:45

      Of course SA is an investor-friendly environment! Provided, of course, that the investors do not need reliable supplies of electricity or water or staff that do not go on strike regularly.

      Nicola Rushin nee Davis - 2014-11-21 19:48

      Exactly, Erik. The fact that the Germans have been buying into these "assurances" from the ANC for the past 20 years just tells you how ignorant and naive they are. No wonder German investors were the biggest foreign investors in CDO's (American subprime bonds) between 2005 and 2007.

  • Made-inthe South - 2014-11-21 18:38

    I don't know about investor friendly environment,certainly here is a corruption friendly environment

      Made-inthe South - 2014-11-21 19:55

      I agree Frank.It seems the unions want to kill as many jobs as possible.

      lacrimosewolf - 2014-11-22 00:58

      O well, we The People can't even get this govt to keep traffic lights working let alone electricity, hospitals, schools, roads, Olympic training facilities, water supplies. So good luck Germany. If you can get a guaranteed assurance out of this govt, you will be the 1st in 20 years.

  • Richard Young - 2014-11-21 18:41

    Playing with fire

  • Lpk Pmc - 2014-11-21 18:52

    It is clear .. the SA Government and Min Rob Davies do not want European Foreign Investment - why on earth do you think they are cancelling ALL such BTI's. It is Russia (socialism) and China (communism) going forward from now!

      Justin Pretorius - 2014-11-24 10:36

      So Russia is socialist now? Last time I checked they were thoroughly capitalist. Time to stop listening to CNN?

  • Alec Cooper - 2014-11-21 19:00

    No Mr.Frank-Walter Steinmeier, I would not invest my money here in this economy with these useless individuals in control. Not only can't one trust their policies, but the will mismanage your money. Probably steal it if they can. They are also not interested in dealing with first world business or expertise. These closet commies are loyal only to Beijing and Moscow......Beware!

  • Ian Murray - 2014-11-21 19:10

    Also insist the EU citizens will have their properties and rights protected. Dont believe a word they say, not only do they lie instinctively, they sometimes even believe their lies.

  • Ugan Padayachee - 2014-11-21 19:10

    Yes. They should invest in our country and in return, they'll get raped, hijacked, branded "racists", picketed against, robbed (not only by criminals but corrupt govt officials) and even killed.

  • Tshigiginyedza Gwaah B - 2014-11-21 19:12

    I love Germans cars, excusuite... hmm

      Hennie de Ruyter - 2014-11-21 19:26

      Yes, interesting how a country that cannot even grow enough food for its own people can build such nice cars and has the largest economy in Europe.

      Nico Louw - 2014-11-21 21:14

      you mean western stuff ?

  • Tanja Jaehne - 2014-11-21 19:32

    Herr Steinmeier, das ist eine sehr schlechte Idee. Investieren Sie lieber woanders. Dieses ist nur eine Garantie zu riesigen Verlusten...

  • Aubree Phethedi Wa-Matjep - 2014-11-21 19:42

    Is there South African investors in Germany?

      Ike Jakson - 2014-11-22 11:01

      You can bet on that.

  • Mark Smith - 2014-11-21 19:42

    Herr Steinmeier Das ist ein grosse fehler.

  • Charles Komane - 2014-11-21 19:47

    If they invest they get something out is it not so? If they dnt want to invest they loose out as well.

      Paul Prinsloo - 2014-11-21 21:34

      I promise you, they will find better, cheaper and more secure countries to invest in. Wake up Charles, we need investments in this country, and your government is making it more and more difficult by the day. This country will not survive without investment from outside.

  • coenraad.vaneeden.5 - 2014-11-21 19:54

    Germans are. White. Run ,no place for whites

  • Sifiso Myeni - 2014-11-21 20:05

    Go start

  • Lpk Pmc - 2014-11-21 20:14

    Now Mr Steinmeier - you look at the very next headline! And you advise your companies? WE AS SOUTH AFRICANS DO NOT HAVE POWER TONIGHT - YOU WANT TO DO BUSINESS? Rolling blackouts this weekend - Eskom Nov 21 2014 15:49 Light bulb (File) RELATED ARTICLES Eskom starts load shedding Eskom mum about crack in silo Eskom warns of possible load shedding Eskom's electricity struggle: Unpaid bills Load shedding schedules Something is terribly wrong at Eskom Johannesburg - Power cuts are scheduled to take place throughout the weekend, Eskom said on Friday afternoon. "Load shedding will recommence again tomorrow [Saturday] and Sunday at 21:00 in order to build up reserves for the week ahead," it said in a statement. It said there were a number of reasons for the cuts that began on Friday afternoon. "The power system is extremely constrained... due to unforeseen technical problems at power stations, depleted water reserves at our peaking power stations, which use water to generate electricity, and depleted diesel reserves to fire up the open-cycle gas turbines." Load-shedding schedules were available to Eskom's direct customers on its website. Customers could also contact their call centre for additional information. Earlier this month, a coal storage silo at the Majuba power station in Mpumalanga collapsed, resulting in widespread power cuts. The silo held more than 10 000 tons of coal and affected coal supplies to all six units at the power station.

  • Hell Gate - 2014-11-21 20:19

    The following in SA is working against an investor friendly environment. Disrupted energy supply - load shedding. Labour strikes. Government agenda to increase taxes Water restrictions Alarming rise in costs of utilities in general required by industry. Double taxation such as e tolls. Weakening rand making imports more costly. Government's communist/socialist agenda to pass laws that will take free ownership in companies such as the mining and petroleum act where government has tabled a law to take 20% free ownership from any new development in the mining and petroleum sectors. This they will later force this onto other industries in SA. Loss of skilled labour through unfair and discriminatory labour practices. Theft & robberies from companies. Vandalising of company properties..

  • Parys Fotograaf - 2014-11-21 20:35

    If the Germans had any sense they would not rust the thieves in charge.

  • Schalk van Schalkwyk - 2014-11-21 20:38

    Herr Steinmeier, Vertrauen Sie nicht ihnen, Gauner sind sie! These people are not to be trusted....they must give GPS coordinates when they pray, otherwise God will never know where they are!

  • Fay Cooney - 2014-11-21 20:40

    Take your money and run we have a bunch of thieves in all Gov sectors.

  • Johan Kotze - 2014-11-21 21:10

    Somebody must explain the implications of private property rights according to the ANC to the Germans. They will run like hell if they knew the truth!

  • Nico Louw - 2014-11-21 21:12

    Zuma, this means no hands in the till !

  • Bertus Pretorius - 2014-11-22 00:42

    Uh huh. But sure, nkandla is not a smack you in the face kick you in the crotch example of how the anc handles money. I mean, another R10mill there for audits, R1mill here for framed pictures. Aaaand then we have Eskom. And a failing Randwater. Why dafuq would you want to waste money on these imbiciles who only take and destroy?

  • rowan.torr.9 - 2014-11-22 01:03

    Germany can help the poorestby assisting in upgrading our passenger rail. Especially in Mpumalanga to increase tourism by rail. Thank you for the investment Germany.

  • Lunetic Mental - 2014-11-22 10:54

    poor Germans..If only they know what I know~

  • John Smith - 2014-11-22 19:29

    Invest in South Africa, but give the money to the DA to manage. That's how you get investor assurance.

  • Kgalalelo Landane - 2014-11-23 09:37

    Germany will keep investing, they don't care what you all think because they know biased you whole lot are...keep on being sour! #ProudlySouthAfrican

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