Global Policy Forum

Investment Treaty Arbitration and Developing Countries: A Re-Appraisal

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This GDAE working paper examines the impact of Bilateral Investment Treaty arbitrations on developing countries. It criticizes the widely accepted views of scholar Susan Franck, who writes the BIT arbitration system is favorable to developing nations. Instead, the paper argues that developing nations are actually subject to a disproportionate number of arbitration claims and pay more in relative terms than developed nations do.


By Kevin P. Gallagher and Elen Shrestha

May 2011


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