What Is A Bilateral Investment Agreement

Paragraph I generally guarantees a better or most purchasing national currency in the entry and post-investment phases. It therefore prohibits, with the exception of the exceptions set out in the Annex, `screening` on the basis of nationality during the investment process and post-establishment measures based on nationality. For the purposes of the Treaty, “internal treatment” means treatment no less favourable than that accorded by a party in situations similar to investments of its own nationals or companies in its territory. For the purposes of the Treaty, `most important remuneration` means treatment no less favourable than that accorded by a Party, in similar situations, to investments in its territory by third-country nationals or companies. “National Treatment and MOSTBES” is defined as India`s most favourable treatment or MFN treatment. Paragraph I expressly states that the obligation of national treatment and the most purchasable treatment shall extend to state-owned enterprises in their sale of goods and services. 4. Each Party hereby consents to the resolution of investment disputes by binding arbitration in accordance with the choice of national or enterprise referred to in paragraph 3(a)(1), (ii) and (iii) or mutual agreement between the parties to the dispute in accordance with paragraph 3(a)(iv). That consent and the presentation of the dispute by a national or an undertaking referred to in point (a) of paragraph 3 shall comply with the following requirements: (d) payments under a contract, including the amortisation of capital and accrued interest made in accordance with a loan agreement; 5. Each Party shall endeavour not to impose an obligation to export its production or purchase of goods locally as a condition for the establishment of an investment by nationals or enterprises of the other Party, without prejudice to the Party`s general import programmes and national economic policies. (f) the proceeds of the sale of all or part of the investment or winding-up, including winding-up, resulting from a circumstance described in Article IV; and (4) transfers.-The U.S. model text, which allows “free and fast” transfers, has been retained but has been restricted in the protocol due to Turkish concerns about currency shortages. Paragraph 2(a) of the Protocol provides that `unledied` means that transfers shall be made as soon as possible in accordance with the usual settlement procedures and shall never last more than two months.