The Foreign Investment Regulation Act

Proposed as part of the Economic Recovery Package, 651
PASSED by a vote of 10 Aye, 5 Nay and 4 abstaining

Article 1 - Definitions

1.1 - A foreign investor is defined with the same definition in clause 1.1 of the Foreign Investment Expansion Act.

Article 2 - Investor Regulations

2.1 - The Foreign Investment Council (FIC) shall be created under the Ministry of Revenue & Treasury. It is the FIC's responsibility to:

2.1.1 - Create and review goals investors have to meet to be eligible for tax credits defined in the Foreign Investment Expansion Act.

2.1.2 - Review the eligibility of foreign investors who want to apply for tax credits according to the goals defined by the FIC.

2.1.3 - Organizing the tiers of restrictions on the amount of foreign investment in any company, sectors or industry in accordance with clause 2.2.

2.2 - The organization of restrictions on foreign investment in specific sectors (sectors can mean anything from entire industries to specific companies) will be defined in these following tiers:

2.2.1 - Tier 1: Heavily restricted sectors. Sectors of the economy which are completely off limits to foreign investment (unless specified in specific treaties or bills).

2.2.2 - Tier 2: Well-regulated sectors. Sectors of the economy which are limited in how much foreign investment can be consisted of their total equities. Foreign investments can not go over 25% of the total amount of equities in the sector.

2.2.3 - Tier 3: Mildly-regulated sectors. Sectors of the economy which are limited in how much foreign investment can be consisted of their total equities. Foreign investments can not go over 49% of the total amount of equities in the sector.

2.2.4 - Tier 4: Unregulated sectors. Sectors of the economy which have no regulation on the amount of foreign investment they can receive.

2.3 - These specific sectors shall be defined in accordance with clause 2.2:

2.3.1 - Tier 1: The defense industry and mining industry.

2.3.2 - Tier 2: The agriculture industry, rail infrastructure, port infrastructure, airport infrastructure, and the transportation industry.

2.3.3 - Tier 3: The healthcare industry, energy industry, real estate industry, and news outlets.

2.3.4 - Tier 4: All sectors not previously defined in clause 2.3.

Written and Proposed by Erich Crysler, MGA, Independent.