Expropriation without compensation will kill South Africa’s investment potential

January 6, 2020

Land expropriation without compensation is the perfect recipe for economic disaster. Without properly defined and delineated property rights, it is near impossible for economic entities to confidently engage in economic activity, more specifically in fixed/direct investment, which is a requisite for economic growth and prosperity. Investment in fixed assets is essential for laying a solid foundation for increasing wealth and jobs. South Africans should be concerned since an ad hoc committee has recently published a draft amendment to the Constitution to allow for land expropriation.