ESWATINI
Since December 2020
Pillar Public procurement of ICT goods and online services |
Indicator Other limitations on foreign participation in public procurement
Public Procurement Regulations, 2020
According to Art. 12 of the Public Procurement Regulations, procuring entities may grant a price preference of up to 15% to Eswatini companies in the bidding process. According to Art. 12.2 of the Regulations, an Eswatini company is a company registered in Eswatini and whose controlling shares are 60% owned by Eswatini citizens. In addition, foreign companies can also enjoy a price preference of up to 7.5% if they subcontract to Swazi companies or supply Swaziland-made products.
Coverage Horizontal
ESWATINI
N/A
Pillar Public procurement of ICT goods and online services |
Indicator Signatory of the WTO Agreement on Government Procurement (GPA) with coverage of the most relevant services sectors (CPC 752, 754, 84)
Lack of participation in the WTO Agreement on Government Procurement (GPA)
Eswatini is not a party to the World Trade Organization (WTO) Agreement on Government Procurement (GPA), nor does it have observer status.
Coverage Horizontal
ESWATINI
Since December 1983
Since August 1989
Since July 2013
Since August 1989
Since July 2013
Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade |
Indicator Maximum foreign equity share
Swaziland Post and Telecommunications Corporation Act, 1983
Public Enterprises (Control and Monitoring) Act, 8/1989
Electronic Communications Act, 2013
Public Enterprises (Control and Monitoring) Act, 8/1989
Electronic Communications Act, 2013
The Eswatini Post and Telecommunications Corporation (EPTC) is entirely owned by the government, with no local or foreign firms holding equity shares in the corporation. Sections 3-5 of the Swaziland Post and Telecommunications Corporation Act establish the corporation and its governing structures in accordance with the Public Enterprises (Control and Monitoring) Act (PEA).
According to Section 53 of the Electronic Communications Act, EPTC shall have the exclusive right of establishing, constructing, maintaining and operating the national telecommunications backbone infrastructure within the country.
According to Section 53 of the Electronic Communications Act, EPTC shall have the exclusive right of establishing, constructing, maintaining and operating the national telecommunications backbone infrastructure within the country.
Coverage Telecom backbone infrastructure
Sources
- https://web.archive.org/web/20210813072031/http://swazimet.gov.sz/Regulator/Post%20and%20Telecommunications%20Corporation%20Act%201983.pdf
- https://web.archive.org/web/20240725021835/http://compco.co.sz/online/wp-content/uploads/2018/08/PEU-Act-1989.doc-pdf.pdf
- https://web.archive.org/web/20240619112057/https://faolex.fao.org/docs/pdf/swa142026.pdf
- https://web.archive.org/web/20240724075651/https://www.esccom.org.sz/legislation/SwazilandElectronicCommunicationsAct.pdf
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ERITREA
N/A
Pillar Online sales and transactions |
Indicator UNCITRAL Model Law on Electronic Signatures
Lack of adoption of UNCITRAL Model Law on Electronic Signatures
Eritrea 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
ERITREA
Since August 1994
Pillar Quantitative trade restrictions for ICT goods and online services |
Indicator Other import restrictions, including non-transparent/discriminatory import procedures
Proclamation No. 59/1994, Investment Proclamation
According to Art. 5.2 of the Investment Proclamation No. 59/1994, foreign investment in domestic retail and wholesale trade, import, and commission agency is limited. The government sets a precondition of having a bilateral agreement of reciprocity with the country of the investor if the Eritrean government waives this precondition. As a result, it is reported that the government strictly controls all imports and exports, severely limiting foreign investment.
Coverage Horizontal
ERITREA
Since March 1998
Pillar Technical standards applied to ICT goods and online services |
Indicator Self-certification for product safety
Proclamation No. 102/1998, Communication Proclamation
Art. 34 of the Communication Proclamation No. 102/1998 declares that the possession, establishment, and use of radio equipment or a system with interworking radio equipment is provided only by the Communications Department of the Ministry of Transportation and Communications.
Coverage Telecom equipment
ERITREA
Reported in 2022, last reported in 2023
Pillar Online sales and transactions |
Indicator Maximum foreign equity share for investment in the e-commerce sector
Reported ban on foreign investment
Art. 5 of the Investment Proclamation No. 59/1994 states that all sectors are open to any investors, with the exception of domestic retail, domestic wholesale, import, and commission agency companies, which are excluded unless there is a bilateral agreement of reciprocity. Yet, it is reported that, in practice, this law has been suspended. The ruling Peoples Front for Democracy and Justice (PFDJ) determines the sectors in which private investment is accepted and defines the terms under which it is permitted. As a result, investment is de facto prohibited in most sectors of the economy (with the exception of mining), including the e-retail sector. It has also been reported that the majority of large enterprises are either wholly or partially owned by the government or the PFDJ.
Coverage E-retail
Sources
- https://web.archive.org/web/20240109000909/https://www.state.gov/reports/2023-investment-climate-statements/eritrea/
- https://web.archive.org/web/20231001030040/https://www.state.gov/reports/2022-investment-climate-statements/eritrea/
- https://web.archive.org/web/20230528040239/https://investmentpolicy.unctad.org/investment-laws/laws/255/print/3
- https://web.archive.org/web/20241204212711/https://tile.loc.gov/storage-services/service/ll/lleritrea/eritrean-proc-59-1994/eritrean-proc-59-1994.pdf
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ERITREA
Since March 1993
Since February 2013
Since February 2013
Pillar Online sales and transactions |
Indicator Restrictions on online payments
Proclamation No. 32/1993, A Proclamation to Provide for the Regulation of the Monetary and Banking System in Eritrea
Proclamation No. 173/2013, A Proclamation Pertaining to the Opening of Foreign Currency Deposit Accounts, Domestic Commercial Transactions and/or Contracts, Currency Remittance and Exchange and the Declaration of Currency of Travelers Arriving into the Departing from Eritrea.
Proclamation No. 173/2013, A Proclamation Pertaining to the Opening of Foreign Currency Deposit Accounts, Domestic Commercial Transactions and/or Contracts, Currency Remittance and Exchange and the Declaration of Currency of Travelers Arriving into the Departing from Eritrea.
According to Art. 4 of the Proclamation No. 173 of 2013 and Arts. 33-36 of Proclamation No. 32 of 1993, all payments in the country are required to be in local currency, therefore requiring foreign firms to use local currency and payment methods in local currency.
Coverage Horizontal
ERITREA
Reported in 2022, last reported in 2023
Pillar Online sales and transactions |
Indicator Restrictions on online payments
Restrictions on payments and transfers for international transactions
It is reported that Eritrea’s legislation rigorously regulates capital flows, including the payment for the importation of goods and currency exchange, which results in a significant challenge for organisations in Eritrea to transfer foreign currency into or out of the country and to settle essential overseas bills. The National Bank of Eritrea is responsible for approving and managing all fund transfers into and out of the country and has the authority to disapprove a transfer. Furthermore, local funds are not freely convertible to any world currency. The exchange rate is determined by the government and does not fluctuate. In addition, it has been alleged that the government is in breach of Article VIII of the International Monetary Fund (IMP) with regard to restrictions on payments and transfers for international transactions.
Coverage Horizontal
ERITREA
N/A
Pillar Online sales and transactions |
Indicator Threshold for ‘De Minimis’ rule
Lack of de minimis threshold
Eritrea does not implement any de minimis threshold, which is the minimum value of goods below which customs do not charge duties.
Coverage Horizontal
ERITREA
N/A
Pillar Online sales and transactions |
Indicator Framework for consumer protection applicable to online commerce
Lack of consumer protection legislation
Eritrea does not have any legal provisions regarding consumer protection that are applicable to online commerce.
Coverage Horizontal
ERITREA
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
Eritrea has not signed the United Nations (UN) Convention on the Use of Electronic Communications in International Contracts.
Coverage Horizontal
ERITREA
N/A
Pillar Online sales and transactions |
Indicator UNCITRAL Model Law on Electronic Commerce
Lack of adoption of UNCITRAL Model Law on Electronic Commerce
Eritrea 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
ERITREA
Reported in 2024
Pillar Content access |
Indicator Presence of Internet shutdowns
Presence of Internet shutdowns
The indicator "6.2.4 - Government Internet shut down in practice" of the V-Dem Dataset, which measures whether the government has the technical capacity to actively make internet service cease, thus interrupting domestic access to the internet or whether the government has decided to do so, has a score of 1 in Eritrea for the year 2023. This corresponds to "The government shut down domestic access to the Internet numerous times this year."
Coverage Horizontal
ERITREA
N/A
Pillar Intellectual Property Rights (IPRs) |
Indicator Effective protection covering trade secrets
Lack of comprehensive regulation on trade secrets
Eritrea does not have a comprehensive framework in place that provides effective protection of trade secrets, but there are limited measures addressing some issues related to them. The Penal Code of the State of Eritrea discusses “Fraudulent Unfair Competition” in its Art. 359, penalising the acts of misappropriating others' “secret of manufacture, organisation or process” and misusing it in a “manner contrary to good faith”, with imprisonment between one and three years.
Coverage Horizontal
