Deputy Speaker and hon members, in terms of section 231(2) of the Constitution of the Republic of South Africa, international agreements are only binding to the Republic after they have been approved by a resolution of both the NA and the NCOP. It is in compliance with this provision that we table this protocol to this House today after the Portfolio Committee on Finance has satisfied itself, as was referred to it by this House, that it is in keeping with the spirit of our country's participation in the international family.
This protocol on the Southern African Development Community, SADC, gives effect to Article 22 of the SADC Treaty by seeking to foster harmonisation of the financial and investment policies of the state parties in order to make them consistent with the objectives of SADC and to ensure that changes to the financial investment policies in one state party do not necessitate undesirable adjustments in other state parties.
The vehicle for achieving this objective will be the facilitation of regional integration, co-operation and co-ordination within finance and investment sectors, with the aim of expanding the productive sectors of the economy and enhancing trade in the region to achieve sustainable economic development and eradication of poverty.
In terms of this SADC protocol, 15 practical interventions are identified, ranging from creating a favourable investment within SADC; maintaining macro-economic sustainability and convergence of fiscal and monetary policies; to co-operation in all strategic areas including IT and financial institutions.
The protocol also proposes the establishment of the SADC Project Preparation and Development Fund as a stand-alone institution that is to be housed within a reputable regional development financial institution. This is envisaged to be the only structure that would have financial implications for member states, including South Africa, which is estimated to be around US$300 000 dollars. On behalf of the committee, I present this protocol for adoption.
On the convention between the Republic of South Africa and the Republic of Mozambique, it is also in terms of the same provision of the Constitution that I present the above-mentioned convention to the House for adoption after the committee has considered it in terms of our mandate.
I thank you. Have a Merry Christmas and a prosperous new season all. Thank you. [Applause.]
Thank you and the same to you.
There was no debate.
Convention between the Republic of South Africa and the Republic of Mozambique for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income approved.
Protocol on Finance and Investment of the Southern African Development Community approved.