Transferring South African Rands out of SA has never been a simple process. Since the
1960s anyone wanting to transfer funds abroad has been restricted by South African Reserve Bank (SARB) Exchange Controls to varying degrees. Excon relaxations over the past decade have resulted in most South Africans who can afford to transfer money out of the country, doing so to the fullest possible extent.
In the last three years, Excon restrictions have effectively vanished, except for the ultra-wealthy, with the annual allowance adjustment in 2015 to R11 million per individual (or R22 million per married couple) – broken down into a R10 million Foreign Investment Allowance (FIA) and one million discretionary allowance per individual.
Although this relaxation is positive, it has coincided with a rapidly devaluing Rand, making the reality of offshore money transfers no less challenging for those wanting to access SA capital from abroad. Taking the currency valuation question out of the equation, what are the options for South Africans wanting to unlock SA capital for purposes abroad? To continue reading click here…