Multi-jurisdiction guide for screening of foreign investments


Foreign investment is widely seen as driving jobs and economic growth and is generally welcomed by recipient countries around the world. Notwithstanding, in certain circumstances such investment may be considered a risk for national security or other equally fundamental aims of the recipient countries (such as public order and public security and in practice also for economic reasons). Consequently, this risk has led national authorities as well as supranational authorities (as is currently seen at EU level) to adopt different measures aimed at screening foreign investment and ultimately enabling them to intervene either ex ante and/or ex post and to restrict or prohibit such foreign investments.

DLA Piper’s global presence and aim of this guide

This guide looks at foreign investment in over 40 jurisdictions where DLA Piper is present and has multidisciplinary teams with substantial experience of sector specific legal frameworks - and applicable administrative proceedings (such as merger control) - dealing with these issues.

This multi-jurisdictional guide on screening of foreign investment is published in response to the needs of international investors to have an overall perspective when planning their strategy.

The guide first sets out a table visually identifying jurisdictions with specific screening of foreign investment. It then gives a country-by-country overview of current regulation. The table mentioned also includes other jurisdictions that currently do not have such mechanisms. Of course some of these jurisdictions may introduce thresholds for admitting investment in sectors such as national security (including energy and telecoms networks, for instance) in the near future. The guide will consequently be updated in the future as and when relevant developments shape new realities.

Why is it so important to have a global network for managing investment screening effectively? It matters to know the people who call the shots and the environment in which their decisions are made. What is the political environment? What are the political mechanics in a decentralized system? FDI screening is not just a legal exercise, it requires caretakers with political understanding. We have what you need.

This guide will be updated regularly to reflect changes to the FDI regimes in the relevant jurisdictions. This version of the guide is dated August 2019.