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ADu ReVIeW

Regional law caution

armonisation and regionalisation of law the CEMAC region.”
Hin Africa is progressing a lot quicker than The African Union (AU) is the largest
many investors may realise, according to pan-African organisation and in July all
leading multinational law firm Ashurst. states except Eritrea signed off on the Afri-
Addressing delegates on the opening can Continental Free Trade Agreement (Af-
day of Africa Down Under, London-based CFTA), the largest free trade area since the
Ashurst partner Yann Alix provided an over- formation of the World Trade Organisation.
view of the growing list of regional bodies Eight regional economic communities ex-
in Africa, which has increased dramatically ist within the AU, including ECOWAS (Eco-
since the 1990s. nomic Community of West African States),
“A number of these regional bodies have COMESA (Common Market for Eastern
adopted regulations that apply directly and Yann Alix and Southern Africa) and EAC (East Afri-
prevail over national laws, very similar to EU Some of the more prolific monetary un- can Community).
regulations,” he said. ions in Africa include CEMAC (Economic Alix urged all investors to undertake due
“Often the regional level might be missed and Monetary Community of Central Africa) diligence on these organisations.
or overlooked, so it’s key to identify which and UEMOA (West African Economic and “Harmonisation and regionalisation of
organisations may be relevant to your in- Monetary Union). law in Africa is developing extremely fast
vestment in which country you operate or “CEMAC and UEMOA regulations con- and this is key because it applies directly to
intend to operate.” tain very specific rules on opening offshore stakeholders that are operating in country,”
Alix categorised Africa’s evolving regional accounts, on opening and operating foreign he said.
landscape into four types: OHADA (Organi- currency local account, on authorisations “So far it has mainly developed in West
sation for the Harmonisation of Business that are sometimes required in relation to and Central Africa and it covers essentially
Law in Africa), monetary unions, political certain investments and on the obligation to foreign exchange and competition/anti-trust
and trading blocs, and other organisations. repatriate profits,” Alix said. regimes, but it’s likely to grow in scope and
OHADA comprises 17 countries in West “The CEMAC regulation was amended a geographically in the years to come.”
and Central Africa, most of which have leg- few months ago and I can tell you it’s of the – Michael Washbourne
islation inspired by French law. utmost importance for companies active in

OPENING OPPORTUNITIES
OPENING OPPORTUNITIES
FOR AUSTRALIAN INVESTMENT
FOR AUSTRALIAN INVESTMENT
OPENING OPPORTUNITIES
AND LEADERSHIP IN AFRICA
AND LEADERSHIP IN AFRICA
FOR AUSTRALIAN INVESTMENT
AND LEADERSHIP IN AFRICA
ADVOCACY. INSIGHTS. CONNECTIONS.
ADVOCACY. INSIGHTS. CONNECTIONS.
ADVOCACY. INSIGHTS. CONNECTIONS.

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