Protection of international investments

1964 ◽  
Vol 6 (2) ◽  
pp. 21-23
2021 ◽  
Vol 17 (1) ◽  
pp. 107-113
Author(s):  
Chantal Mak

While private corporations have become increasingly influential in the global economy, a comprehensive legal framework for their activities is missing. Although international and regional legal instruments may govern some aspects of, for instance, international investments and the supply of goods and services, there is no overarching structure for assessing the impact of large-scale private projects. In the absence of such a comprehensive framework, specific rules of private law allow profit-seeking companies to expand their activities on an economic basis, mostly without having to heed social concerns (Pistor, 2019). This is particularly problematic insofar as multinational companies have obtained power to set the rules for their engagement with states, organisations and individuals, for instance in the form of transnational investment contracts. Given the fragmented nature of the legal sphere in which such contracts are elaborated and performed, those who face the harmful consequences of such investments may not be able to participate in decision-making processes. The contracts remain in ‘wild zones’ of globalisation (Fraser, 2014, p. 150), where powerful private companies rule.


1938 ◽  
Vol 48 (191) ◽  
pp. 526
Author(s):  
A. W. Flux ◽  
Cleona Lewis

2019 ◽  
Vol 13 (1) ◽  
pp. 29
Author(s):  
Mikidadu Mohammed ◽  
Jean Marie Luundo

This paper introduces a novel country classification system that rates the political economy risks of countries for the purpose of conducting international business. It is intended to provide investors, multinational companies, and business researchers a quick and efficient way of gauging the extent of political, economic, and legal risks associated with doing business in different countries. The study covers over 170 countries and identifies 24 country types. At the extremes are Type 1 countries (least risky) and Type 24 countries (most risky). Overall, the new classification system suggests that political economy risks associated with doing international business are relatively mild in Type 1, Type 3, and Type 4 countries. However, international businesses should temper their investment decisions with caution in Type 19, Type 20, Type 22, Type 23, and Type 24 countries due to high political, economic, and legal risks, especially Types 23 and 24 where these risks are excessive. At the same time, international businesses may want to refocus their attention to Type 11 countries who are now havens for international investments due to drastic reduction in political, economic, and legal risks associated with doing business. The twenty-four country types identified in this new classification system are time-invariant. Thus, countries may move up or down due to improvements or deteriorations in certain aspects of their political economy.


AWARI ◽  
2020 ◽  
Vol 1 (1) ◽  
Author(s):  
Nicolás Vladimir Chuchco

The measurement of “good governance” has become an object of (e) valuation by international actors. In this regard, it has occupied the attention of investors, donors, private companies, development agencies, academics, journalists, governments, and credit organizations in the last 30 years, accompanied by a greater flow of international investments to under developed economies. Among these indicators, the Worldwide Governance Indicators (WGI) produced by the World Bank stand out. Although these numbers are not used directly by the Bank to condition resources, they are used by organizations such as the Millennium Challenge Corporation (MCC) to decide in which countries allocate financial aid based on the results of some of the dimensions of these indicators. For this reason, this work seeks to investigate the relationships networks that exist between the indicators and the organizations that participate in providing data, asking about what type of organizations produce inputs of certain dimensions, what relationships they have with each other and with others, in terms of participation, and where the central houses that produce these inputs are located geographically. For this, we have analyzed and characterized the relationship network of production about four dimensions of the WGI indicators, according to the organizations that provided data for South America during the period 2017-2018. The main results obtained indicate that a small number of international organizations in the Northern hemisphere have greater participation in the supply of inputs, highlighting private companies or organizations linked to them.


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