ICSID arbitration and protecting outbound investments

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The International Centre for Settlement of Investment Disputes (ICSID) was established under the Convention on the Settlement of Investment Disputes between States and Nationals of Other States, which entered into force on 14 October 1966.

As of 20 January 2013, the ICSID had 158 signatory states, and 147 contracting states had ratified the convention. China ratified in 1993.

DD_ICSIDThe purpose of the ICSID is to provide facilities for the conciliation and arbitration of international investment disputes. The ICSID does not conciliate or arbitrate the disputes, but provides the institutional facility and procedural rules for independent conciliation commissions and arbitral tribunals constituted in each case.

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The author, Tony Zhang, is senior partner at Co-Effort Law Firm, which is listed as legal counsel for the Ministry of Commerce in World Trade Organisation and regional trade agreement dispute resolution issues. Zhang specialises in international trade, international investment, maritime and admiralty law, and international arbitration.