South Africa said on Thursday it would further relax foreign exchange control rules for individuals, making it easier for citizens to invest up to 5 million rand abroad annually.
The National Treasury also said it would allow companies to top up capital in their offshore businesses, and relaxed rules for corporations that want to invest outside their current business lines.
The changes mark the latest step by Africa's top economy to move away from stringent controls over foreign exchange flows out of the country.
“The annual 4 million rand foreign investment allowance plus the 1 million rand current single discretionary allowance will be consolidated into one 5 million foreign investment allowance per year,” the treasury said in a statement.
South Africans could invest more than 5 million rand overseas a year as long as they adhered to “strict criteria” set by Reserve Bank for disclosure.
The Treasury said limits for individuals on alimony, wedding and travel allowance would be done away with.
In recent years, South Africa has raised the amount of money domestic institutions such as retirement funds are allowed to invest abroad.
The South African Reserve Bank will release further details within a month, Treasury said. - Reuters