Database

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AUSTRIA

Since March 2004, last amended in February 2014
Since February 2016, last amended 2018
Since July 2018

Pillar Public procurement of ICT goods and online services  |  Indicator Other limitations on foreign participation in public procurement
Utilities Directive (2014/25/EU)

BKA: Federal Act amending the Federal Procurement Act 2006 and the Federal Procurement Act 2012 (BKA: Bundesgesetz, mit dem das Bundesvergabegesetz 2006 und das Bundesvergabegesetz Verteidigung und Sicherheit 2012 geändert werden)

Procurement Law Reform Act 2018 (Vergaberechtsreform Gesetz 2018)
Art. 85 of the Utilities Directive (2014/25/EU) contains provisions allowing contracting public entities to reject foreign goods not covered by any EU international commitments from its tender procedures. In these cases, a tender submitted for the award of a supply contract may be rejected where the proportion of the products originating in third countries exceeds 50% of the total value of the products constituting the tender (Art. 85.2). Additionally, in cases of equivalent offers, the provisions provide for a preference for European tenders and tenders covered by EU's international obligations. In practice, this possibility has rarely been used.
In Austria, the Directive has been transposed by the BKA: Federal Act amending the Federal Public Procurement Act 2006 and the Federal Public Procurement Act 2012, as well as by the Public Procurement Act Reform Act 2018.
Coverage Any product sold to a utility provider including software used in telecommunication network equipment

AUSTRIA

Since 1986, last amended in 2021

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Maximum foreign equity share
Federal Act on Austrian Broadcasting (Bundesgesetz über den Österreichischen Rundfunk (ORF-Gesetz, ORF-G))
There are limits to the proportion of shares that can be acquired by foreign investors in publicly-controlled firms. In particular, the public broadcaster ORF is organised as a foundation under public law, resulting in additional requirements in order to acquire shares in ORF. This is further aggravated by the fact that the public broadcaster receives a major part of its financing through a broadcasting fee (Programmentgelt). ORF also conducts activities online.
Coverage Broadcasting sector

AUSTRIA

Since 2011, last amended in July 2020

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Indicator Screening of investment and acquisitions
Austrian Investment Control Act (Investitionskontrollgesetz)
In Austria, a screening mechanism was first introduced with Section 25a of the Foreign Trade Act 2011. The Act has been replaced in July 2020 by the Austrian Investment Control Act, which provides different scenarios where screening applies. The main relevant scenarios triggering the screening are, under certain circumstances, as follows:
- Acquisition of 10% or more of voting rights in the company when related to the following digitally sensitive sectors: defence equipment/defence technology; critical energy infrastructure; critical digital infrastructure (in particular 5G infrastructure); systems that enable data sovereignty of the Republic of Austria;
- Establishment of a new branch in Austria if an Austrian undertaking is acquired by a foreign entity and the relevant thresholds are met;
- Establishment of a new company in which foreign investors will have more than 10% voting rights.
The Foreign Direct Investment Screening Act provides that some transactions are exempt from the approval requirement where the target is a very small undertaking with less than ten employees and an annual turnover or annual balance of no more than 2 million euros.
Coverage Digital sensitive sectors including critical digital infrastructure
Sources

AUSTRIA

Since August 1970, last amended in April 2022

Pillar Intellectual Property Rights (IPRs)  |  Indicator Practical or legal restrictions related to the application process for patents
Patent Act 1970 (Federal Law Gazette 1970/259) (Patentgesetz 1970, BGBl. 1970/259)
According to Art. 43 of the Patent Act 1970, applications for patents are subject to formal and substantive examination by the Patent Office. Moreover, according to Art. 21, anyone who has neither domicile nor branch office in Austria can only assert rights under this Federal Act before the Patent Office if they are represented by a party representative listed in Section 77 (Only lawyers, patent attorneys, and notaries, as well as the financial procuratorate, are authorised to represent parties professionally before the Patent Office.). If the place of residence or branch is in the EEA or in the Swiss Confederation, however, the appointment of an authorised recipient resident in Switzerland is sufficient for the assertion of rights under this federal act. The requirement of the main residence in Austria does not apply to citizens of EEA contracting states if service is ensured by international treaties with the contracting state of the domicile of the authorised recipient or in another way.
Coverage Horizontal

ETHIOPIA

N/A

Pillar Online sales and transactions  |  Indicator Framework for consumer protection applicable to online commerce
Lack of comprehensive consumer protection law applicable to online commerce
Ethiopia lacks a comprehesive framework for consumer protection that applies to online transactions.
Coverage Horizontal

ETHIOPIA

N/A

Pillar Online sales and transactions  |  Indicator Ratification of the UN Convention on the Use of Electronic Communications in International Contracts
Lack of signature of the UN Convention on the Use of Electronic Communications in International Contracts
Ethiopia has not signed the United Nations (UN) Convention on the Use of Electronic Communications in International Contracts.
Coverage Horizontal

ETHIOPIA

N/A

Pillar Online sales and transactions  |  Indicator UNCITRAL Model Law on Electronic Commerce
Lack of adoption of UNCITRAL Model Law on Electronic Commerce
Ethiopia has not adopted national legislation based on or influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Commerce.
Coverage Horizontal

ETHIOPIA

N/A

Pillar Online sales and transactions  |  Indicator UNCITRAL Model Law on Electronic Signatures
Lack of adoption of UNCITRAL Model Law on Electronic Signatures
Ethiopia has not adopted national legislation based on or influenced by the United Nations Commission on International Trade Law (UNCITRAL) Model Law on Electronic Signatures.
Coverage Horizontal

ETHIOPIA

Since April 2021
Since August 2016, last amended in August 2019

Pillar Online sales and transactions  |  Indicator Local presence requirements for digital services providers
Commercial Code No. 1243/2021 (1243/2013 የኢትዮጵያ ፌደራላዊ ዲሞክራሲያዊ ሪፐብሊክ የንግድ ሕግ )

Commercial Registration and Licensing Proclamation No. 980/2016 (የንግድ ምዝገባና ፍቃድ አዋጅ ቁጥር ፱፻፹/፪ሺ፰)
According to Art. 82.1 of the Commercial Code No. 1243/2021 and Art. 22.1 of the Commercial Registration & Licensing Proclamation No. 980/2016, any Ethiopian or foreign person or company carrying out commercial activities within Ethiopia shall be registered and then licensed in the country. In addition, according to Art. 40 of the Commercial Registration and Licensing Proclamation No. 980/2016, any foreign chamber of commerce may open its branch office in Ethiopia upon presenting a certificate of legal personality issued in the country of registration, memorandum, and article of association submitted there and their detailed activities in Ethiopia and upon approval getting registered with the Ministry. However, foreign investors who invest in Ethiopia and from an association, that association shall be registered by the authority that is legally established to administer investment at the federal level.
Coverage Horizontal

ETHIOPIA

Since April 2020
Since September 2020

Pillar Content access  |  Indicator Restrictions on online advertising
Investment Proclamation No. 1180/2020

Investment Regulation No. 474/2020
Art. 5 (1. e) of Investment Regulation No. 474/2020 (which implements the Investment Proclamation No. 1180/2020) reserves some areas of investment, including advertisement and promotion for joint investment with domestic investors only. According to Section 3.3 of the regulation, the scope of the law includes advertisements disseminated through the internet website being designed in Ethiopia or abroad. Previously, there was a ban on foreign investment in the advertising sector.
Coverage Advertising sector

ETHIOPIA

Since April 2021
Since August 2016, last amended in August 2019

Pillar Content access  |  Indicator Licensing schemes for digital services and applications
Commercial Code No. 1243/2021 (1243/2013 የኢትዮጵያ ፌደራላዊ ዲሞክራሲያዊ ሪፐብሊክ የንግድ ሕግ )

Commercial Registration and Licensing Proclamation No. 980/2016 (የንግድ ምዝገባና ፍቃድ አዋጅ ቁጥር ፱፻፹/፪ሺ፰)
According to Art. 82.1 of the Commercial Code No. 1243/2021 and Arts. 5.1 & 22 of the Commercial Registration & Licensing Proclamation No. 980/2016, any Ethiopian or foreign person or company carrying out commercial activities within Ethiopia shall be registered and then licensed.
Coverage Horizontal

ETHIOPIA

Since August 2019

Pillar Quantitative trade restrictions for ICT goods and online services  |  Indicator Other import restrictions, including non-transparent/discriminatory import procedures
Communication Services Proclamation No. 1148/2019
The importation of telecommunication equipment requires authorisation by the government. The Communication Services Proclamation No. 1148, under Art. 23, gives broad powers to the Ethiopian Communication Authority to regulate the importing of any telecommunication equipment to the country. It is prohibited to manufacture, import, or distribute radiocommunications and telecommunications equipment that requires the Authority’s technical efficacy assurance without obtaining prior approval of the Authority.
Coverage Radiocommunications and telecommunications equipment

ETHIOPIA

Since January 2014

Pillar Quantitative trade restrictions for ICT goods and online services  |  Indicator Other import restrictions, including non-transparent/discriminatory import procedures
Proclamation 808/2013
Proclamation 808/2013 mandates the Information Network Security Agency (INSA) to control the import and export of information technologies, build an IT testing and evaluation laboratory centre and regulate cryptographic products and their transactions.
Coverage Information technologies

ETHIOPIA

Since July 2012

Pillar Quantitative trade restrictions for ICT goods and online services  |  Indicator Other import restrictions, including non-transparent/discriminatory import procedures
Telecom Fraud Offence Proclamation No. 761/2012
According to Art. 3 of the Telecom Fraud Offences Proclamation, the import, assembly, sale, manufacturing, or even use of any telecom equipment (which includes any apparatus and software used for telecom services) without a prior permit from the government is prohibited. Failure to comply with this rule is a crime punishable with imprisonment and a fine.
Coverage Telecom equipment

ETHIOPIA

Reported in 2022, last reported in 2023

Pillar Quantitative trade restrictions for ICT goods and online services  |  Indicator Other import restrictions, including non-transparent/discriminatory import procedures
Complaints on the logistics system
Ethiopia is reported to experience regular logistical delays due in part to inefficiencies in the customs process, which significantly affect the import process. In addition, monopolistic conditions in the multimodal transport market and insufficient infrastructure make it difficult for private-sector logistics companies to operate. Logistics costs usually represent between 22% and 27% of the final cost of the product, and transport and freight costs are 60% higher than in neighbouring countries. Customs administrative difficulties are compounded by the fact that Ethiopia is landlocked, and more than 90% of its foreign trade depends on a single port in Djibouti, which suffers from inadequate infrastructure and inefficient customs procedures.
Coverage Horizontal

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