SA and Zim close to deal on investment

THE South African and Zimbabwean governments are inching closer to finalising their long-awaited Investment Protection Agreement (IPA).

The department of trade and industry (DTI) and an economic development team from Zimbabwe have been engaged in negotiations to sign the agreement for over a year.

The main provisions of the IPA cover the handling of foreign investments by the host country (in this case Zimbabwe), the transfer of capital and investment income, compensation for expropriation and procedures for settling disputes.

Yesterday DTI chief director George Monyemangene confirmed that the talks had reached an advanced stage and that an agreement would be reached in weeks.

Signing of the deal has been postponed on numerous occasions, reportedly after the Zimbabwean government objected to a clause referring to land investments.