Zambia and Japan have signed an agreement aimed at promoting and protecting investments between the two countries.
According to a statement by the Japanese Ministry of Foreign Affairs, the Agreement between Japan and the Republic of Zambia for the Promotion and Protection of Investment was signed during a ceremony held in Tokyo on Thursday.
The agreement was signed by Zambia’s Commerce, Trade and Industry Minister Chipoka Mulenga and Japanese Ambassador Extraordinary and Plenipotentiary to Zambia, Takeuchi Kazuyuki.
The Japan-Zambia investment agreement aims to further protect and promote investment between the two countries.
It outlines the treatment accorded to investment activities and investments, providing national treatment at the post-establishment phase of investments and most-favoured-nation treatment at both the pre-establishment and post-establishment phases.
It also includes provisions for fair and equitable treatment, prohibition of performance requirements, conditions for expropriation and compensation, freedom of transfers and procedures for dispute settlements.
Zambia has been focusing on anti-corruption measures, the rule of law and good governance to attract foreign investment.
The country is also promoting debt restructuring with economic reform as one of its top priorities.
With its rich mineral resources, including copper and cobalt, Zambia holds great economic potential and has been attracting strong interest from Japanese companies.
The Japan-Zambia investment agreement is expected to further enhance the investment environment and strengthen economic relations between the two nations.
Bilateral ties between Zambia and Japan have been growing steadily over the years.
Japan has been a significant development partner for Zambia, providing aid and technical assistance in various sectors, including infrastructure, education and healthcare.
The two countries are expected to notify each other through diplomatic channels once they have completed their respective internal procedures necessary for the entry into force of this agreement.
The agreement will enter into force on the 30th day after the latter of the dates of receipt of the notifications.
JN/APA