Expropriation without compensation is damaging South Africa

• Expropriation without compensation is damaging South Africa by creating uncertainty and discouraging investment, ultimately threatening the country's economic progress.
• The Expropriation Act, signed into law by President Cyril Ramaphosa on 23 January 2025, has a broad scope that extends beyond land reform to encompass immovable, movable, and intangible property, including water rights, mining rights, and intellectual property.
• The Act's ambiguous nature has already led to a rise in South Africa's country risk premium, causing investor confidence to decline and deterring direct foreign investment, with effects already being felt in the agriculture and mining sectors.