RESEARCH AND ANALYSIS: WORKING PAPERS

A Survey of Investment Provisions in Regional Trade Agreements

The liberalization and protection of investment flows has become an increasingly indispensable pillar of economic integration. The objective of this study is to contribute to a better understanding of the ways in which RTAs achieve such liberalization and protection.

To this end, we have surveyed the investment provisions contained in 260 RTAs notified to the WTO by 31 December 2015 and in force on that date. More than half of these RTAs contain investment chapters, though they vary in terms of their substantive scope and coverage. Given the unabated increase in the number of RTAs and the push towards greater economic integration we expect this figure to further increase. The main categories of investment provisions in RTAs reviewed in the paper include the definitions of investment and investor, investment liberalization, investment protection and ISDS. Also included in our analysis are provisions supporting the investment framework, host state flexibilities, investment promotion, as well as provisions on sustainable and socially responsible investment.

 

No: ERSD-2016-07

Authors: Vasyl Chornyi, Marianna Nerushay and Jo-Ann Crawford

Manuscript date: July 2016

Key Words:

Regional Trade Agreements, investment

JEL classification numbers:

F15, F21

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Disclaimer 

This is a working paper, and hence it represents research in progress. The opinions expressed in this paper are those of its author. They are not intended to represent the positions or opinions of the WTO or its members and are without prejudice to members' rights and obligations under the WTO. Any errors are attributable to the author.

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