Legality of Investment Incentives. Legal Framework related to Incentives

Akademische Arbeit , 2023 , 104 Seiten , Note: A

BWL - Recht

This study examines whether or not investment incentives are lawful under international law. In contrast with the mainstream literature, this study asserts that investment incentives are neither always efficient nor lawful. The study indicates that the legality of investment incentives depends on how they are used. They will be lawful if they comply with the principle of national treatment and MFN treatment; and will be unlawful if they violate those principles, especially if they benefit domestic investors over foreign investors or if they benefit investors of some countries over investors of other countries. Furthermore, performance requirements may be a test for the legality of investment incentives as host states are not free to impose any kind of performance requirements to the investors, as a condition to accord them incentives. Countries that are members of WTO are not allowed to use performance requirements which are prohibited by TRIMs Agreement like local content requirements, trade balancing requirements and export control requirements.

Inhaltsverzeichnis (Table of Contents)

• Abstract
• CHAPTER I. INTRODUCTION
• 1.1. Investment incentives at a glance
• 1.2. Background
• 1.3. Concept of incentives
• 1.3.1. Meaning, benefits and costs associated with incentives
• 1.3.2. Classification of incentives
• 1.4. Investment incentive in China and Rwanda
• 1.4.1. Investment incentives in China
• 1.4.2. Investment incentives in Rwanda
• 1.5. Subdivision of work
• CHAPTER II. LEGAL FRAMEWORK RELATED TO INCENTIVES
• 2.1. Multilateral legal instruments
• 2.1.1. Agreement on subsidies and countervailing measures
• 2.1.2. Agreement on Trade-Related Investment Measures
• 2.1.3. Multilateral Agreement on Investment
• 2.2. Regional trade or investment agreements
• 2.3. Bilateral Investment Treaties
• CHAPTER III. LEGALITY OF INVESTMENT INCENTIVES
• 3.1. Investment incentives and national treatment or MFN treatment
• 3.1.1. Concept of national treatment and MFN treatment
• 3.1.2. Legal basis for national treatment and MFN treatment
• 3.1.3. Purpose of MFN treatment and national treatment
• 3.1.4. Like circumstances
• 3.1.5. Exceptions and restrictions to national treatment or MFN treatment
• 3.1.6. Applicability of incentives to national treatment and MFN treatment
• 3.1.7. Treatment of fiscal incentives
• 3.2. Investment incentives and performance requirements
• 3.2.1. Concept of performance requirements
• 3.2.2. Classifications of performance requirements
• 3.2.3. Applicability of incentives to performance requirements
• 3.3. Investment incentives and environmental or labor standards
• 3.3.1 Applicability of incentives to environmental standards
• 3.3.2. Applicability of incentives to labor standards
• GENERAL CONCLUSION
• REFERENCES

Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)

This study examines the legality of investment incentives under international law. It challenges the common view that such incentives are always efficient and lawful, arguing that their legality depends on their application.

• The principle of national treatment and MFN treatment
• The legality of investment incentives when they are used in compliance with the principle of national treatment and MFN treatment
• The legality of investment incentives when they violate the principles of national treatment and MFN treatment
• The role of performance requirements in assessing the legality of investment incentives
• The relationship between investment incentives and environmental or labor standards

Zusammenfassung der Kapitel (Chapter Summaries)

• Chapter I. Introduction provides a brief overview of investment incentives, highlighting their benefits and costs, as well as their different categories. It then explores the background of incentives and their use in Rwanda and China.
• Chapter II. Legal Framework Related to Incentives examines the legal instruments that govern investment incentives, focusing on multilateral agreements such as the Agreement on Subsidies and Countervailing Measures, the Agreement on Trade-Related Investment Measures, and the Multilateral Agreement on Investment. It also delves into regional trade or investment agreements and bilateral investment treaties.
• Chapter III. Legality of Investment Incentives dives into the key question of whether investment incentives are lawful under international law. It analyzes the application of national treatment and MFN treatment to investment incentives and explores the role of performance requirements in determining the legality of such incentives. The chapter concludes with a discussion on the relationship between investment incentives and environmental or labor standards.

Schlüsselwörter (Keywords)

This study focuses on investment incentives, national treatment, most-favored nation treatment, performance requirements, and labor and environmental standards. The research examines the relationship between these key concepts and the legality of investment incentives under international law.

• Hochschule: INES Ruhengeri Institut für Angewandte Wissenschaften
• Note: A
• Autor: Dr. Mbonigaba (Autor:in)
• Erscheinungsjahr: 2023
• Seiten: 104
• Katalognummer: V1368139
• ISBN (PDF): 9783346897688
• ISBN (Buch): 9783346897695
• Sprache: Englisch
• Schlagworte: national treatment, investment incentives, most-favored nation treatment, performance requirements