South Africa courts EU businesses

Date: 12/10/1995

MOMENTUM is gathering for European involvement in South Africa. In the coming months, the Commission will announce new incentives for European businesses looking at the emerging market, the European Investment Bank (EIB) will extend loans to the country, and EU states will formalise their pledge to include South Africa in the Lome Convention.

In addition, EU and South African negotiators begin their second round of talks today (12 October) on working towards a trade and cooperation accord for the country. Steffen Smidt, the Commission's Director-General for Development, and South African Ambassador Neil van Heerden will discuss collaboration between companies on both sides, including the possibility of joint ventures. They will also explore how the Union can help the Mandela government in the fields of health, education and labour laws.

On 19 October, at a private- sector conference in Brussels designed to encourage European business in southern Africa, Development Commissioner João de Deus Pinheiro is due to announce incentives to promote investment in the region.

“This is a major opportunity for businessmen to invest in an area that is the most promising in Africa,” said Commission spokesman João Vale de Almeida.

The conference will bring together trade, economic, agriculture and tourism ministers from Botswana, Lesotho, Malawi, Mauritius, Namibia, Swaziland and Zimbabwe. Angola's oil minister and South Africa's telecommunications minister are also expected.

“We need investment to make up for years of neglect,” said John Mare of South Africa's mission to the EU.