Czechia: New FDI screening regime for non-EU operators investing in strategic sectors of the Czech Republic
Description
New FDI screening regime for non-EU operators investing in strategic sectors of the Czech Republic
Czech authorities implemented the "FDI Act" (Regulation 34/2021) introducing a new FDI screening regime, subjecting certain investments in strategic sectors from non-EU investors to prior approval by the Ministry of Industry and Trade. The affected foreign direct investments include those providing a non-EU investor with an effective degree of control over a Czech legal entity in certain sectors including the Management of assets considered as "critical infrastructure" (i.e. energy providers, mobile operators, pharmaceutical manufacturers, designated banks, etc.)
Original sourceScope
Policy Area
Foreign direct investment
Policy Instrument
MNE: Entry and ownership rule
Regulated Economic Activity
infrastructure provider: internet and telecom services, infrastructure provider: internet and telecom services, infrastructure provider: internet and telecom services
Implementation Level
national
Government Branch
legislature
Government Body
parliament
Complete timeline of this policy change
Key regulatory dimensions
Regulated subjects
The businesses, government agencies or individuals affected by this policy or regulatory change.
producer / supplier
1
Type
Private organisation
Economic activity
infrastructure provider: internet and telecom services
Category
All
Policy change by business practice
The detailed activities within the scope of this policy or regulatory change.
digital good (any form): sale
Regulatory tool
Foreign investment screening
Sanctions
Fine
Regulated subjects
1
physical good (all forms): sale
Regulatory tool
Foreign investment screening
Sanctions
Fine
Regulated subjects
1