Journal of Legal, Ethical and Regulatory Issues (Print ISSN: 1544-0036; Online ISSN: 1544-0044)


The Facilitation of Foreign Direct Investment by Local Authorities in Namibia: An Analysis of the Policy and Legislative Framework

Author(s): Ralph Vezembouua Marenga, Lesley Blaauw, Omu Kakujaha-Matundu

The legislation and policy framework on decentralised foreign direct investment (FDI) facilitation shapes the scope and developmental experiences of host local authorities (LAs) with foreign investors in Namibia. Owing to the FDI facilitative roles of LAs, it is vexing how the Windhoek and Walvis Bay LAs have developmentally experienced FDI. These LAs have developmentally experienced FDI (Ramatex Textiles Namibia and Namibia Press & Tools) in a negative and neutral way respectively. In addition, no known empirical research has focused on analysing legislation and policies that accord FDI facilitation functions in Namibia and its impact on the scope and developmental experiences of LAs with facilitating FDI. The present study fills this empirical gap by using a qualitative research paradigm. Through purposive sampling, 13 key respondents were interviewed. Data were interpreted and presented through thematic analysis. The principal findings of this research are that the legal and policy framework on the facilitation of FDI by LAs is insufficient and regressive for achieving bottom-up development, hence the negative and neutral developmental experiences of the Windhoek and Walvis Bay LAs with FDI respectively. This study recommends legal and policy reforms aimed at ascending the developmental role of LAs and ensuring that LAs are adequately empowered to facilitate FDI for development and those measures are put in place to protect LAs and their communities against the negative effects of FDI.

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