Vale Columbia Center on Sustainable International Investment

The United States is one of the few countries to have a labor provision in its Model BIT. The 2012 Model includes a more elaborate labor provision than its predecessor. The scope of applicable labor standards and the level of commitment are more demanding than in the 2004 Model and most other (model) BITs. But unlike US FTAs, it lacks a clear obligation to adopt and maintain ILO standards as a minimum, and does not allow disputes to be submitted to arbitration.  中文版

While welcoming the earlier Perspective (No. 85, December 17, 2012) on the ongoing US-China BIT negotiations, an alternative, business-oriented approach should be taken. It is more important to secure a high-standard agreement, with strong investor protections and dispute settlement provisions, than to seek a quick agreement by splitting the difference on key issues. The 2012 US Model BIT provides a good template for a final agreement.  中文版

The failure of investment tribunals to grasp the compensatory nature of moral damages awarded to investors has led to doctrinal and practical difficulties in the treatment of moral damages.  Many such difficulties can be addressed by identifying the specific moral injury suffered -- whether mental or reputational -- and awarding commensurate compensation rather than satisfaction, restitution or punitive damages.  中文版

Disenchantment with investment law’s traditional laissez-faire liberalism is influencing the EU’s investment policies. In particular, evidence suggests that future EU investment agreements will aim to emulate EU FTAs in incorporating regulatory flexibility, pointing towards a policy shift in Europe resulting from a search for a new balance.  中文版

There are potential negative effects of FDI on domestic technology-based entrepreneurship in developing countries. Crowding effects in the labor and product markets combined with stronger intellectual property regimes that prevent knowledge spillovers may stifle technology entrepreneurship where it is needed most.  中文版

Prescriptions to increase the role of FDI in promoting sustainable development generally focus on the macro level -- getting policies right and otherwise improving the investment climate. These steps are necessary but not sufficient. Effective implementation processes, especially at the micro project level, are also essential to encourage FDI that matches host country development needs and priorities.  中文版  日本語版

A review of the definition of "investor" and investor-state dispute resolution clauses in 851 international investment agreements (IIAs) reveals that, except in two cases, state-controlled entities (SCEs) (including sovereign wealth funds and state-owned enterprises) have equivalent standing to their purely private counterparts  as "investors" under such IIAs. This article highlights the various ways in which SCEs are covered under the definition of "investor".  中文版  日本語版

In the absence of an international framework governing capital controls, a conflict has developed due to the different approaches towards such controls taken by various international organizations and international investment agreements (IIAs).  IIAs should incorporate derogations for countries when treaty obligations conflict with IMF recommendations to impose controls in response to severe economic hardship.  中文版

The Cardin-Lugar Transparency Amendment is a promising step toward ending the resource curse by improving accountability and access to information for both citizens and investors. The Amendment has run into heavy corporate opposition, and its implementation has been much delayed. However, there is a business case for mandatory transparency requirements.  中文版