South Africa Loses $20bn Investment from EU-Based Company as EWC Policy Drives Emigration and Capital Flight

Cape Town, WC — South Africa’s Expropriation Without Compensation (EWC) bill, signed into law on January 23, 2025, is prompting significant economic fallout, as evidenced by a European company allegedly halting land and project negotiations in the country.

The company, which was exploring a $20 billion investment, has shifted focus to the United States, offering South African consultant Oom Karel a job opportunity there.

Karel, who shared his experience on X, is considering the offer amid growing frustration over South Africa’s policies.

The EWC, aimed at addressing historical land imbalances, has raised concerns about property rights, deterring foreign investment.

Experts warn that South Africa’s brain drain, with skilled professionals emigrating to stable economies like the U.S., could exacerbate economic challenges, including unemployment and stagnant growth, as the country grapples with the consequences of its land reform initiatives.

The company I consult for, an European co, stopped all negotiations for land and projects in SA when the EWC was announced.

They are looking at America and has offered me a job there, where, I am not sure as they are still negotiating.

I might just accept it.

— Oom Karel (@Jakals_en_Wolf) May 4, 2025

????????????. Do you really think that the project in excess of $20 billion only include land.

There is a component of land yes. We are talking to Zambia, Angola and Zim to triplicate the project…. $60billion plus.

Tsek yourself. You are dumb and ignorant.

— Oom Karel (@Jakals_en_Wolf) May 4, 2025