The 1994 budget carefully avoided this risk, and there is no evidence that such a direction will be taken in the near future. Although returns are fairly high, the risk factors of violence and political uncertainty are of most concern to foreign investors. The government's Structural Adjustment Program provides export incentives tailored to specific industries, most notably motor vehicles, textiles and clothing. Local content requirements also apply in certain industries, most notably in motor vehicle manufacturing. Other Barriers Parastatals, Local Authorities and Private Buyers Parastatals, local authorities, and major private buyers such as the mining houses follow practices similar to those followed by the central government.
Most parastatal procurement is guided by and bound to the schedule of local content preference.
Local government purchases are increasingly significant and also involve overseas bidding.