Expropriation is an extreme form of political action. It may occur for a number of reasons,
including the desire to retain national assets, as a "hostage" situation in international disputes, for example the seizure of Union Carbide's assets after the Bhopal disaster in India. Other government activity, which affects capital investment, includes joint venturing insistence and repatriation of funds. "Partnering" remains widespread (inward investment in tandem with a
domestic company) as does restrictions on repatriation of funds. In Zimbabwe, for example,
HJ Heinz, the multinational food agent, has entered into partnership with Olivine industries.
Over time, even if initially the investment is not favourable, the Government may relax its
conditions as it sees the benefits.
Titany answered the question on November 25, 2021 at 11:49
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