In brief - on Friday 5 June 2020, the Treasurer
announced a number of proposed reforms to the Australian foreign
investment review framework. The reforms are said by the Treasurer
to be the most significant since the introduction of the
Foreign Acquisitions and Takeovers Act in
1975
These changes are separate to the recent COVID -19 pandemic
temporary foreign investment measures and are intended to come into
effect, once legislated, when the temporary measures related to the
pandemic cease on 1 January 2021: see our earlier article dated 30 March 2020 regarding
those temporary pandemic measures.
The proposed reforms introduce enhanced national security review
of sensitive foreign investments, measures to streamline less
sensitive investments, stronger penalties, compliance and
enforcement powers and various measures to improve the integrity of
the framework. The proposed reforms also address foreign investment
approval application fees and the investor experience
