SPECIAL ADMINISTRATIVE MEASURES AGAINST FOREIGN INVESTORS UNDER THE ETHIOPIAN INVESTMENT LAW. A COMPARATIVE ANALYSIS WITH THE CHINESE FOREIGN INVESTMENT NEGATIVE LIST CATALOGUE

Author Name: 1. Tebosego Lorato Baikakedi 2. Tesfaye Boresa Senbeta

Volume/Issue: 03/10

Country:

DOI NO.: 08.2020-25662434 DOI Link: https://www.doi-ds.org/doilink/04.2023-26971666/UIJIR

Affiliation:

ABSTRACT

In the era of globalization states are always in competition in attracting foreign investments. They adopt different legal frameworks with incentives as a means to attract more foreign direct investments to their country. Currently developing countries have come to employ a negative list approach in dealing with foreign investments. Items listed in the negative list are mostly the ones that are totally prohibited to invest by foreign investors or they are very restricted that require further preconditions. These prohibitions and restrictions mainly basis on national security and public concern. Therefore; states which want to attract foreign in investment usually list out certain items that are excluded from foreign investment and open more areas of investment opportunities for foreign companies. In this paper the writer attempted to analyze the common features and disparities among the Chinese and Ethiopian Negative List Catalogue (NLC) by comparing the legal frameworks that governs the issue at hand in both countries. Hence, comparative study of both countries legal regime governing negative list has been made. In addition, pertinent literatures that conforms to the issue has been also reviewed by the writer. Finally, the writer had identified that both states have certain similarities in either prohibiting or restricting foreign investments. At the same time there are also many differences among the negative list catalogue of china and Ethiopia with regard to publication, internet news transmission, cultural protection, education and research related investment areas. The analysis indicates that differences in catalogue outweighs the similarities.

Key words: Negative List Catalogue, Foreign Direct Investment, Special Administrative Measures, Ethiopia, China