A research report submitted to the Faculty of Engineering and the Built Environment, University of the Witwatersrand, Johannesburg, in fulfilment of the requirements for the degree of Master of Science in Engineering / The purpose of this research is to provide a comprehensive understanding of Foreign Direct Investment (FDI) and its impact on the mining sector of a developing economy. The ideology and principles discussed aim to assist economists, investors and governments in understanding the need for FDI and how to set up a viable and conducive framework. The research links development economics to FDI as a means to creating and sustaining economic growth.The results of the analysis indicated that there is a direct relationship between development economics and FDI. Political, social and economic risks pose a direct threat to the levels of FDI that a country attracts. A study performed in this research revealed that the higher the perceived risk level, the lower the investment levels. Africa is a resource rich continent; however it ranks low on the investor attractiveness scale. This is due to authoritative political leaders that control corporate and fiscal regimes, ethnic unrest between local tribes and political warfare that is played out in the media. Despite these drawbacks certain African countries are taking steps to improve their attractiveness. Ethiopia is one of them and was selected as the main case study for this research. A benchmark acid test was performed on the policies implemented by government. The Growth Transformation Plan (GTP) I and II (plans set by the government to transform Ethiopia) were reviewed and analysed for feasibility due to the Ethiopian government setting ambitious growth targets. The results of the analysis reveal that investors were attracted to Ethiopia through policies that safeguarded investors’ interests, geological attractiveness, afforded tax and duty havens and allow for the repatriation of profits. The research also highlights the negative impact that social unrest and political violence had on mining FDI. The research concludes on its findings that government policies play a key role in attracting investment. Monetary and fiscal policies must be set to alleviate poverty and create economic growth through the attraction of foreign investment. / NG (2020)

Over the past decade, road construction has come to represent Chinese engagement with Ethiopia. This study considers the lives of Chinese workers at the lower end of one such project in Tigray, northern Ethiopia. By examining the ways in which Chinese road workers tried to make sense of daily life on the construction site, I reveal the inherent contradictions of a state rhetoric that promoted 'win-win cooperation' ('huying huli hezuo') and 'friendly collaboration' ('youhao hezuo') between China and Africa, and demonstrate the local manifestations of the much-debated 'China Model'. Initial expectations coloured by state narratives, as well as the migrants' own experiences with domestic development, stood in sharp contrast to realities on the ground. Convinced of the goodwill nature of their activities, Chinese workers were puzzled by and resentful of the apparent ingratitude of local Ethiopians, their lack of cooperation, and, worse, repeated attempts to sabotage the construction work. Chinese workers' struggles with development in Africa, I argue, should be understood in relation to their background as upwardly mobile rural migrants at the bottom of the corporate hierarchy, successors of engineers dispatched under Mao Zedong who had enjoyed a respectable reputation at home - a reputation current workers felt they were about to lose - and as citizens aware of their country's status in the world as superior to Africa and inferior to the West. The workers sought to live up to Chinese ideals of development by demonstrating and promoting the virtues of self-development, simultaneous development, and entrepreneurialism. Ethiopians, however, did not concede to these ideas, and their lack of cooperation stirred resentment and expressions of self-pity on the part of the Chinese, who blamed the Ethiopian labourers, their suzhi (human quality), and wenhua (culture) for the limited success of the projects. What Chinese workers failed to realise was that the attitude of Ethiopians was in fact a response to asymmetrical and contested power relations that did not allow for win-win cooperation and friendly collaboration.

A contradiction between the Ethiopian law of investment and environmental law is prevalent since law of investment promotes development while environmental law protects the environment. The thesis investigates the general legal issue: How do the investment and environmental laws of Ethiopia promote large-scale agricultural development without adversely affecting the environment? In the research, comparative legal research methodology is employed: comparison is made between the internationally accepted principles of large-scale agricultural investment and Ethiopian laws; the laws and experiences of Brazil and South Africa are showed that law of sustainable large-scale agricultural investment is vital to promote agricultural development and protect the environment. International law on investment and environment are also considered. International legal principles of solving the contradiction between environmental law and investment law are analysed. Legal and document analysis of Ethiopian laws, policies and government documents have been made. Interviews have been made, data through questionnaires have been collected and analysed, and 12 large-scale agricultural investment farms have been observed and critically analysed. The thesis identified that law of large-scale agricultural investment promotes development while Ethiopian environmental law protects the environment. The law has a role in promoting large-scale agricultural development by recognising the right to development and providing incentives and creating conducive environment. Thus, the law should be used to promote both the right to development and environmental protection. The nexus between investment law and environmental law should be strengthening. It is identified that the law of sustainable large-scale agricultural development could protect the environment while promoting large-scale agricultural development. The thesis identified the Ethiopian law and the practices do not promote sustainable large-scale agricultural development. Thus, it is recommended that precautionary principle, like EIA should be made a requirement for large-scale agricultural investment, implementing efficiently and effectively the large-scale agricultural law principles, and laws to achieve sustainable large-scale agriculture. / Public, Constitutional and International Law / LL. D.