Exchange controls: Restrictions on trade-related payments

摘要

Although leading, lagging and netting restrictions apply, the parties can freely negotiate terms within the defined limits. There are no restrictions on export leads, but approval is necessary for import leads. The central bank (South African Reserve Bank-SARB) usually gives permission for capital goods up to a maximum of only one-third of the value of the import lead. Documentation is required from foreign manufacturers to support the figures. Exports may be lagged for 180 days and may be extended to 360 days, particularly if the company can convince the SARB or an authorised dealer that the exports are critical for defending or building a new export market. Once the company receives the proceeds, it has 30 days to provide documentation and instructions. There are no restrictions on import lags. Netting requires approval from the SARB, which it grants on a case-by-case basis. For example, car manufacturers have received concessions for netting if they export components produced in South Africa. However, the SARB tends to grant approval only in exceptional circumstances.