n Studies in Economics and Econometrics - Regional cross border investment between the Southern Africa development community (SADC) member states and the expected potential benefits

Volume 31, Issue 1
  • ISSN : 0379-6205


With the initiatives for greater cooperation and the move towards deeper integration within the SADC region, regional cross border investment is emerging as a significant form of investment as countries seek to form closer bonds with each other, as well as to link trade and industrial production. Article 22 of the SADC Protocol on Trade encourages countries to take advantage of the existing opportunities for regional cross border investment by adopting policies and measures that promote open cross-border investment regimes.

South Africa is the leading investor in the SADC region, accounting for most of the foreign direct investment activity. Mauritius has also shown a keen interest in investing in the SADC region. While Zimbabwe had shown a keen interest, its deteriorating economic and political environment would entail that regional investment from Zimbabwe is most likely going to be due to disinvestment from Zimbabwe as firms seek better investment climates.

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