1 icsid in africa – institutional perspective iba conference “mergers, acquisitions and inward...
TRANSCRIPT
![Page 1: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/1.jpg)
1
ICSID in Africa –Institutional Perspective
IBA Conference“Mergers, Acquisitions and Inward Investment in Africa”
Lagos, Nigeria
Meg KinnearSecretary-General
November 8, 2013
![Page 2: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/2.jpg)
ICSID MEMBERSHIP
2© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement .
![Page 3: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/3.jpg)
3© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement .
AFRICAN CONTRACTING
STATES
![Page 4: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/4.jpg)
Growth of Foreign Direct Investment (FDI)
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
4
FDI in high-income and developing economies, 1970-2009
![Page 5: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/5.jpg)
Growth of FDI in Africa
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
5
Inward FDI in Africa, 1980-2012
Source: UNCTADStat
![Page 6: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/6.jpg)
Trends of BITS, DTTs, and “other IIAs”2000-2010
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
6
![Page 7: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/7.jpg)
PROFILE OF ICSID CASELOAD
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
7
1972
1973
1974
1975
1976
1977
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
to S
ept.
30,
201
30
10
20
30
40
50
60
14
1 2 1 2 1 2 41
41 2 1 2 3 3
8 8 8 914
18
30
2124
21
32
2023 25
33
40
27
1 1 1
1
1
1 1
2 3 2 3
16
2
2
4
12
1
4
8
1
2
ICSID Convention Arbitration Cases ICSID Convention Conciliation Cases
ICSID Additional Facility Arbitration Cases ICSID Additional Facility Conciliation Cases
![Page 8: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/8.jpg)
GEOGRAPHIC DISTRIBUTION OF CASES
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
8
South America28%
Central Amer-ica & the Car-
ribean6%
North America (Canada, Mexico & U.S.)5%
Eastern Europe & Central Asia
24%
Western Europe2%
Africa 23% - 7% North Africa & 16% sub-Saha-
ran Africa
Middle East3%South & East Asia & the Pacific
9%
![Page 9: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/9.jpg)
AFRICA PARTIES IN ICSID PROCEEDINGS
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
9
Egypt, Arab Republic ofCongo, Democratic Republic of
Algeria Guinea
CameroonCongo, Republic of
GabonTanzania
TunisiaBurundi
Central African RepublicEquatorial Guinea
LiberiaMorocco
Nigeria Zimbabwe
Côte d'Ivoire Gambia, The
Ghana Mali
Niger Senegal
TogoUganda
MadagascarBurkina Faso
KenyaRwanda
South AfricaSouth Sudan
Seychelles
0 5 10 15 20 25
229
55
44444
3333333
222222222
111111
Number of Cases
![Page 10: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/10.jpg)
CASES INVOLVING NIGERIA
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
10
Case Name Date Registered
Subject Matter BIT, Law or Contract
Outcome
Interocean Oil Development Co. & Interocean Oil Exploration Co. v. Nigeria(ARB/13/20)
9 September 2013
Oil exploration & production joint venture
Nigerian Investment Promotion Commission Act
Pending
Shell Nigeria Ultra Deep v. Nigeria(ARB/07/18)
26 July 2007 Hydrocarbon concession
Nigeria-Netherlands BIT
Settled & discontinued
Guadalupe Gas Products Corp. v. Nigeria(ARB/78/1)
20 March 1978 Production & marketing of liquefied natural gas
Contract between Parties
Settlement embodied in Award of 22 July 1980
![Page 11: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/11.jpg)
BASIS OF CONSENT – OVERALL
11© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
ASEAN Agreement for the Promotion and Protection of Investments
0.5%
Bilateral Investment Treaty (BIT)
65.0%
Dominican Republic-United States-Central America Free Trade
Agreement (DR-CAFTA)
1.0%
Investment Contract between the Investor
and the Host-State19.0%
Investment Law of the Host-State
7.0%
North American Free Trade Agreement
(NAFTA)3.0%
Agreement between the United States of
America and the Sul-tanate of Oman on the
Establishment of a Free Trade Area (Oman-U.S. FTA)
0.5%
Energy Charter Treaty (ECT)4.0%
![Page 12: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/12.jpg)
BASIS OF CONSENT – AFRICAN PARTIES
12© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
Bilateral Investment Treaty (BIT)
42.6%
Investment Contract between
the Investor and the
Host-State45.4%
Investment Law of the Host-State
12.0%
![Page 13: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/13.jpg)
13
ECONOMIC SECTORS – OVERALLFinance
14%Information &
Communication5%
Agriculture, Fish-ing & Forestry
5%
Oil, Gas & Min-ing
26%
Electric Power & Other Energy
5%
Water, Sanitation & Flood Protec-tion5%
Construction7%
Tourism5%
Other Industry19%
Transportation9%
Services & Trade2%
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
![Page 14: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/14.jpg)
14
ECONOMIC SECTORS – AFRICA
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
Finance2%
Information & Commu-
nication2%
Agriculture, Fishing & Forestry
7%Oil, Gas & Mining
34%
Electric Power &
Other Energy
5%
Water, San-itation &
Flood Pro-tection
6%Construc-
tion9%Tourism
8%
Other Industry
13%
Transporta-tion9%
Services & Trade
5%
![Page 15: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/15.jpg)
WHAT ARE THE OUTCOMES?
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
15
Arbitration Proceedings under the ICSID Convention and Additional Facility Rules - Overall
Dispute decided by
Tribunal63%
Dispute set-tled or pro-
ceeding otherwise discontin-
ued37%
![Page 16: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/16.jpg)
Disputes Decided by Arbitral Tribunals under the ICSID Convention and Additional Facility Rules - Overall
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
16
Award deciding that the claims are mani-festly without legal
merit*1%
Award declining jurisdiction
23%
Award dismissing all claims30%
Award upholding claims in part or in full47%
![Page 17: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/17.jpg)
Disputes Decided by Arbitral Tribunals under the ICSID Convention and Additional Facility Rules – Africa specific
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
17
Award declining jurisdiction
14%
Award dismissing all claims29%
Award upholding claims in part or in
full57%
![Page 18: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/18.jpg)
Special Features of ICSID Convention Arbitration
• Impartial and delocalized facility• Immunities for participants• Secretariat expertise• Cost-effective fee structure• Access to hearing facilities internationally• Transparent proceedings available
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
18
![Page 19: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/19.jpg)
Special Features of ICSID Convention - Awards
• Awards final & binding – no appeal in local courts
• Member States must recognize monetary awards without further process
• Monetary awards enforceable as a final judgment in any Contracting State
© 2013 by International Centre for Settlement of Investment Disputes. Content may be reproduced for educational use with acknowledgement.
19
![Page 20: 1 ICSID in Africa – Institutional Perspective IBA Conference “Mergers, Acquisitions and Inward Investment in Africa” Lagos, Nigeria Meg Kinnear Secretary-General](https://reader030.vdocuments.mx/reader030/viewer/2022032703/56649d225503460f949f7b54/html5/thumbnails/20.jpg)
ICSID
1818 H Street NW
Washington, DC 20433
Tel: + 1 (202) 458-1534
Fax: + 1 (202) 522-2615
www.worldbank.org/icsid
20