The treatment referred to in Article III (2) does not extend to benefits which either Contracting Party accords to investors of any third State under a taxation agreement. (Article III (4)).

Investors of a Contracting Party who suffer losses of their investments in the territory of the other Contracting Party due to war or other armed conflict, a state of emergency, revolt, insurrection or riot shall be accorded with respect to restitution, indemnification, compensation or other settlement, a treatment which is no less favorable than that accorded to its own investors or to investors of any third State. These payments shall be freely transferable. (Article IV (2)).

Transfers [Return to the top of the page]

TYPES OF PAYMENT

Returns

Yes. Each Contracting Party shall guarantee to investors of the other Contracting Party the unrestricted transfers of investments and returns and, in particular, but not exclusively:

1. capital and additional amounts necessary for the maintenance and the development of investments;
2. profits, interests, dividends, and other current incomes;
3. funds in repayment of loans, as defined in Article I (1) (c);
4. bonuses;
5. proceeds of the total or partial liquidation or sale of any investment;
6. any compensation as indicated in Article IV;
7. incomes of nationals of a Contracting Party (nationals that have obtained authorization to work in the territory of the other Contracting Party with respect to an investment). (Article V (1)).

Repayment of Loans

Yes. (Article V (1) (c)).

Proceeds of the Total or Partial Liquidation of an Investment

Yes. (Article V (1) (e)).

Licenses and Other Fees

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Other Categories of Payment

Yes. (Article V (1) (a), (d), (e), (f), (g)).

CONVERTIBILITY, EXCHANGE RATES, AND TIMES OF TRANSFER

Currency

Transfers shall be effected without delay, in a freely convertible currency, at the exchange rate applicable on the date of transfer in accordance with the procedures established by that Contracting Party in the territory where the capital was invested. Such procedures shall not impair the substance of the rights set forth in this Article. (Article V (2)).

Exchange Rates

Transfers shall be effected at the exchange rate applicable on the date of the transfer. (Article V (2)).

Time of Transfer

Transfers shall be effected without delay. (Article V (2)).

Expropriation [Return to the top of the page]

DEFINITION

Covered Expropriatory Measures

Expropriation, nationalization or measures which have a similar effect. (Article IV (1)).

CONDITIONS

Public Purpose and Non-Discrimination

Yes. “Public use” (Article IV (1)).

Due Process of Law and Judicial Review

Yes. (Article IV (1)).

Other

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Compensation Standard; Form and Time of Payment

“Prompt, adequate and effective compensation”

Compensation shall:

• amount to the market value of the investment immediately before the date of expropriation or before the impending expropriation became publicly known;
• include interests at a normal commercial rate from the date of expropriation;
• be made without delay;
• be effectively realizable and freely transferable. (Article IV (1)).

Settlement of Disputes between Contracting Parties
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PRE-ARBITRATION NEGOTIATIONS

Any dispute between the Contracting Parties concerning the interpretation or application of the Agreement shall, if possible, be settled through diplomatic channels. (Article VIII (1)).
If it cannot be settled within six months, the dispute shall, at the request of either Party, be submitted to an arbitral tribunal for decision. (Article VIII (2)).

ARBITRATION

Constitution of the Tribunal

The arbitral tribunal shall be constituted ad hoc.

• Within two months of the request of arbitration, each Party shall appoint an arbitrator.
• The two arbitrators are required to select, within the next three months, a national of a third State who serves as Chairman of the tribunal. When agreement cannot be reached, the President of the International Court of Justice might be entrusted by either Contracting Party with the responsibility of making the appointment. There are also additional provisions to cover cases when the President is a national of either Party or is otherwise prevented from fulfilling this function.
• Regarding costs, each Party is required to bear the expenses of its own member of the tribunal and of its representation in the proceedings, while the costs related to the Chairman are to be paid for equally by the Parties. The Tribunal may, however, direct that a higher proportion of the costs be paid by one of the Parties. (Article VIII (3) (4) (5)).

Procedural Rules of the Tribunal

Decisions of the tribunal shall be taken by a majority of votes and shall be binding on both Parties. (Article VIII (5)).

Applicable Law

No reference.

Settlement of Disputes between a Contracting Party and an Investor [Return to the top of the page]

DEFINITION

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PREARBITRAL CONSULTATIONS AND DISPUTE SETTLEMENT MECHANISMS

Any dispute relating to investments between an investor of one Contracting Party and the other Contracting Party will, to the extent possible, be settled amicably. (Article IX (1)).

If it was not possible to settle the dispute within a period of six months, it may be submitted, at the request of the investor:

1. to the competent tribunals of the host party; or
2. to international arbitration.

Election by the investor of either one of these procedures shall be definitive. (Article IX (2)).

ARBITRAL SETTLEMENT OF DISPUTES

Conditions

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Consent

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Forms of Arbitration

In case of international arbitration, the dispute shall be referred to:

1. ICSID, provided each Contracting Party is a party to the ICSID Convention. (For the interim period, both parties give their consent to the submission of the dispute to the ICSID Additional Facility Rules); or
2. an ad hoc arbitration tribunal established under the UNCITRAL Arbitration Rules. (Article IX (3)).

Applicable Law

The arbitral tribunal shall decide the dispute in accordance with the provisions of the Agreement, with reference to the laws of the Contracting Party involved in the dispute; terms of any specific agreement concluded in relation to such an investment and principles of international law. (Article IX (4)).