The 2013 Amendments to the Arab Investment Agreement

Abstract

Abstract Since their first emergence in the 1950s, international investment agreements (IIAs) have been subject to periodic update and revision. Hence, some scholars have classified them into generations. In 1980, the Member States of the Arab League signed the Unified Agreement for the Investment of Arab Capital in the Arab States, which was intended to enhance the encouragement and protection of foreign direct investment (FDI) among them. The practical application of IIAs sometimes resulted in unforeseen consequences for either investors or host States. There have also been changes in IIAs worldwide. In 2013, the Member States amended the Unified Agreement for the Investment of Arab Capital in the Arab States. This article analyses the changes that the Member States sought through that modification. It also underlines comparison between the principles of promotion and protection precedent to the amendment and thereafter. It also covers the alteration of investor–State resolution mechanisms under the Agreement.