Assessing the damage: The effects of sanctions on South Africa
In: Occasional Paper, No. 24
This report focuses on analysing the impact of sanctions on the economy of South Africa, and on the lifting or easing of sanctions during the period mid-1990 to mid-1992. After an introduction in the first section, Section 2 describes briefly trends in the South African economy before the imposition of stringent sanctions from 1985. Section 3 deals with the effects of economic sanctions adopted: both trade restrictions and financial sanctions, the latter referring to the withdrawal of foreign companies as well as to limitations on indirect investment, especially bank loans. It is argued that financial sanctions were undoubtedly successful in applying pressure on South Africa, limitations on bank loans having a far greater effect than disinvestment by foreign corporations, while trade sanctions were, by and large, less successful. In Section 4, recent developments in South Africa's foreign economic relations are discussed. The final section summarises and concludes the report. (DÜI-Hff)