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South Africa And Mauritius Sign Economic Cooperation Agreement,
by Robert Lee, Tax-News.com, London
Monday, February 16, 2009
South African Minister of Trade and Industry, Mandisi Mpahlwa, has urged South
African investors to take advantage of opportunities in Mauritius following
the recent signature of an economic cooperation agreement.
“I would like to appeal to South African business here today, that the
South African government has made serious attempts at creating a proper environment
for outward-investments towards the continent and Mauritius in particular,"
Mpahlwa said during the signing ceremony in Cape Town on February 5.
"For example, the amount of foreign investment allowed for South African
companies is ZAR750m (USD74.6m) per approved investment in the SADC (South African
Development Community ) region, which applies to the rest of the continent,
compared to ZAR500m allowed to countries outside the continent. This demonstrates
the seriousness in which our government views its role in Africa. We, therefore,
encourage South African business to follow suit,” he explained.
Mpahlwa added that South Africa and Mauritius, as members of SADC, had committed
themselves to the harmonisation of standards and the fast-tracking of industrialisation
in the region. The MoU on Economic Co-operation would, he said, provide a tangible
framework for action in this regard.
“The South African government, through the Department of Trade and Industry
has adopted a bilateral strategy for economic engagement with the government
of Mauritius, in line with the partnership strategy we have adopted for the
continent. The main objective of this strategy is to achieve mutual economic
growth and development through outward-investment facilitation, infrastructure
development and trade liberalisation,” Mpahlwa observed.
According to the South African DTI, with the signing of the MoU, the two governments
have agreed to:
Further strengthen and deepen their friendly relations;
Find new approaches and strategies of consolidating, expanding and deepening
areas of economic development, industrial and trade co-operation, with specific
focus on economic empowerment;
Vigorously promote investment and intensify efforts to promote trade between
the two countries, with a view to expanding the volume of trade and reducing
the trade imbalance, which is currently in favour of South Africa;
Identify strategic infrastructure development projects, in order to enhance
the competitiveness of Mauritius;
Develop industrial and technological co-operation between private sector
enterprises and organisations of both countries; and
Encourage and facilitate strategic alliances between institutions of both
countries in the field of human resource development, science and research,
and higher learning.
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