The Legal Regime of Foreign Private Investment in Sudan and by Fath El Rahman Abdalla El Sheikh

By Fath El Rahman Abdalla El Sheikh

Even if constructing international locations require international funding for development, traders usually come upon various hindrances within the present financial order. This comparative research of 2 constructing international locations with related socio-ethnic backgrounds--the Sudan and Saudi Arabia--considers how overseas and Islamic legislations have developed in new instructions in post-Soviet years. subject matters contain incentives and amenities for international traders, funding treaties, funding coverage courses and treatments for aggrieved traders.

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This was for several reasons. First and foremost, the newly elected government inherited a host of deeply rooted economic, security and social problems which it needed time to solve. Instead of directing its efforts towards solving the basic problems, which would address the needs of the people, the democratic government concentrated on trivial matters that led to more crises. Second, the structure of the transitional government was dominated by the high-ranking military officers who sided with the people and were in fact considered by the Sudan People’s Liberation Army (SPLA), led by John Garang, as having their allegiance to the deposed Nimeiri.

The application of the Islamic code was not welcomed by all political activists, as it was not a genuine initiative but rather a device originally designed to suppress the opposition. The application of Sharia ignited the dormant tension between the northerners and southerners, which at the end led to an outright civil war which has continued after the fall of Nimeiri S U DA N E S E A N D S AU D I F O R E I G N I N V E S T M E N T P O L I C I E S  following a popular uprising supported by the armed forces.

The situation is getting worse, for the southern rebels unwisely vowed to blow up the oil installations to prevent the oil from flowing for export, and successive attacks had already been launched on the pipeline. The rebels issued warnings to foreign investors to discontinue their investments, especially in the oil sector, as they considered the oil installations to be legitimate military targets on the basis that the proceeds from the discovered oil finance the escalation of the civil war between the north and the south, where most of the oil finds are situated.

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