蒙古国和埃及之间的投资协定

 

 

 person having the nationality of that Party in accordance with its laws; and

 A "juridical person" means with respect to either Contracting Party, any entity
established in accordance with, and recognized as a juridical person by its laws

such as public institutions, corporations, foundations, private companies, firms, establishments and organizations.

(3)    The term "returns" means any amount yielded by an investment and in particular,

though not exclusive, includes, profits, dividends, interests, shares, capital gains, royalties,

current income, technical assistance fee and/or other fees.

(4)    The term "territory" means the territory of Mongolia or the territory of the Arab

Republic of Egypt respectively, as well as those maritime areas, including the seabed and subsoil adjacent to the outer limit of the territorial sea over which the State concerned exercises, in accordance with international law, sovereign rights or jurisdiction for the purpose of exploration and exploitation of the natural resources of such areas.

(5)    The term" Freely convertible currency" means the currency that is widely used to

make payments for international transactions and widely exchanged in principal international exchange markets.

 

 

ARTICLE 2

Promotion and Protection of Investments

(1)   Each Contracting Party shall encourage and create favorable conditions for investors

of the other Contracting Party to invest in its territory and, shall admit such investments in accordance with its laws and regulations.

(2)   Investments of investors of each Contracting Party shall, at all times, be accorded fair

and equitable treatment and shall enjoy full protection and security in the territory of the other Contracting Party. Neither Contracting Party shall any way, impair by unreasonable or discriminatory measures the management, maintenance, use, enjoyment or disposal of investments in its territory of investors of the other Contracting Party.

 

 

ARTICLE 3

Investment Treatment

(1)   Investments of investors of one Contracting Party in the territory of the other

Contracting Party and also the returns there from shall receive treatment which is fair and not less favorable than that accorded in respect of the investments of its own investors or those of any third state.

(2)   Each Contracting Party shall in its territory accord, to investors of the other

Contracting Party as regards the management, maintenance, use, enjoyment or disposal of their investments, treatment which is fair and equitable and not less favorable than that which it accords to its own investors or to investors of any third country.

(3)   The provisions of paragraphs (1) and (2) of this Article shall not be construed so as to

oblige one Contracting Party to extend to investors of the other Contracting Party the benefit of any treatment, preference or privilege which may be extended by the former Contracting Party by virtue of:

(a)    Any existing or future customs union or free trade area, a common external

 

 tariff area, a common market, a monetary union or similar international agreements or other forms of regional cooperation to which either Contracting Party is or may become a party; or

(b)   Any existing or, future conventions or other international arrangements relating

wholly or mainly to taxation.

 

 

ARTICLE 4

Compensation for Losses

(1)   Investors of one Contracting Party whose investments in the territory of the other

Contracting Party suffer losses owing to war, armed conflicts, revolution, a state of national emergency, revolt, insurrection, riot or other similar events in the territory of the latter Contracting Party shall be accorded by the latter Contracting Party, as regards to restitution indemnification, compensation or other settlements, treatment which is not less favorable than that which the latter Contracting Party grants to its own investors or to investors of any third state. Any payments under this article shall be prompt, adequate, effective and freely transferable.

(2)   Without prejudice to paragraph (1) of this article, investors of one Contracting Party

who, in any of the situations referred to in that paragraph, suffer damage or loss in the territory of the other Contracting Party resulting from:

(a)    Requisitioning of their properties by its forces or authorities, or

(b)   Destruction of their properties by its forces or authorities which was not caused

in combat action or was not required by the necessity of the situation shall be accorded just and adequate compensation for the damage or loss sustained during the period of the requisitioning or as a result of the destruction of the properties. Resulting payments shall he freely transferable and without undue delay.

 

 

ARTICLE 5

Nationalization and Expropriation

(1)   Investments of investors of either Contracting Party shall  not be nationalized,

expropriated or otherwise subjected to any other similar measures having an effect equivalent to nationalization or expropriation (hereinafter referred to as “ xpropriation? ) in the territory of the other Contracting Party except for reasons of public interest under due process of law, on a non- discriminatory basis, and provided that it is accompanied by prompt, adequate and effective compensation.

(2)   Such compensation shall amount to the market value of the investment expropriated

immediately before expropriation was taken or before impending expropriation became public knowledge, which ever is the earlier, shall include interest at the applicable commercial interest rate, and shall be made without undue delay, be effectively realizable and be freely transferable.

(3)   The investor of the Contracting Party shall have a right to prompt a review by a

judicial or other independent authority of the other Contracting Party, of his or its case and of the valuation of his or its investments in accordance with the principles set out in this Article.

(4)   Where one Contracting Party expropriates the assets of a company which is

 

 

 incorporated or constitutes under its laws and regulations, and in which investors of the other Contracting Party own shares or other forms of participation, the provisions of this Article shall be applied.

 

 

ARTICLE 6

Transfers

(1)   With regard to the investments made in its territory, each Contracting Party shall

grant to investors of the other Contracting Party the right to freely transfer payments related to their investments and returns. Such transfers shall include in particular though not exclusive the following:

(a)    Investment returns, as defined in Article 1;

(b)   Compensation and other indemnities pursuant to Article (4) and (5);

(c)    Proceeds accruing from the sale or liquidation, in full or partial of an

investment;

(d)   Funds in repayment of loans related to investments;

(e)    Additional funds necessary for the maintenance or development of an existing

investment;

(f)    Amounts spent for the management of an investment in the territory of the other

Contracting Party;

(g)   Earnings of nationals of the other Contracting Party who are allowed to work in

connection with investments in its territory,

(2)   The transfers shall be made in a freely convertible currency, without undue delay at

the exchange rate which is effective for the current transaction or at the official rate of exchange in force on the date of transfers.

 

 

ARTICLE 7

Subrogation

If a Contracting Party or its designated agency makes a payment to its own investors under a guarantee against non-commercial risks it has accorded in respect of investments in the territory of the other Contracting Party, the latter Contracting Party shall recognize:

(a)    The assignment, whether under the law or pursuant to a legal transaction in that

country, of any rights or claims from the investor to the former Contracting

Party or its designated agency; and

(b)   That the former Contracting Party or its designated agency is entitled by virtue

of subrogation to exercise such claims of that investor and shall assume the obligation related to the investment.

 

 

ARTICLE 8

Settlement of Investment Disputes between a Contracting Party and an Investor of the other Contracting Party

(1)   Any dispute between a Contracting Party and the investor of the other Contracting

 

 

 Party shall be notified, in writing including detailed information by the investor, to the host Contracting party of the investment, and shall, as far as possible, be settled by the parties to the dispute amicably.

(2)   The local remedies under the laws and regulations of one Contracting Party in the

territory of which the investment has been made shall be available for the investor of the other Contracting Party on the basis of treatment not less favorable than that accorded to investments of its own investors or investors of any third state.

(3)   If the dispute cannot be settled in this way within six months from the date of the

written notification mentioned in paragraph (1), it may be submitted upon request of  the investor

(his choice will be final) either to:

(a)    The International Center for the Settlement of Investment Disputes (ICSID)

created by the convention on the settlement of investment disputes between States and Nationals of the other States opened for signature in Washington D.C on 18th March 1965.

(b)   Ad-hoc Court of Arbitration established under the arbitration rules of

procedures of the United Nations Commission for International Trade Law.

(4)   The arbitration decisions shall be final and binding for the parties in the dispute. Each

Contracting Party shall execute them in accordance with its laws.

 

 

ARTICLE 9

Settlement of Disputes between the Contracting Parties

(1)   Disputes between the Contracting Parties concerning the interpretation or application

of the agreement shall, if possible, be settled through negotiations between the governments of the Contracting Parties.

(2)   If the dispute cannot thus  be settled within six months, from the start of the

negotiations, it shall upon the request of either Contracting Parties be submitted to Arbitration in accordance with the provisions of this article.

(3)   The Arbitration shall be constituted for each individual case in the following way:

Within two months of the receipt of the request for arbitration, each Contracting Party shall appoint one member of the Arbitration. These two members shall then select a national of a third

State, who on approval of the two Contracting Parties shall be appointed Chairman of the           

Arbitration. The Chairman shall be appointed within three months from the date of appointment of the other two members.

(4)   If within the periods specified in paragraph (3) of this article the necessary

appointments have not been made, a request may he made by either Contracting Parties to the president of the International Court of Justice to make such appointments. If he happens to be a national of either Contracting Parties or he is otherwise prevented from discharging the said function, the vice president shall be invited to make the appointments. If the vice president also happens to be a national of either Contracting Party or prevented from discharging the said function, the member of the International Court of Justice next in the seniority who is not a national of either Contracting Parties shall be invited to make the appointments.

(5)   The Arbitration shall determine its own procedure and shall reach its decision by a

majority of votes. Such decision shall be final and binding on both Contracting Parties. Each

 

 

 Contracting Party shall bear the  cost of its own arbitrator and its Counsel in the arbitral proceedings; the cost of the Chairman and the remaining costs shall be borne in equal parts by both Contracting Parties.

 

 

ARTICLE 10

Application of other Rules

(1)   Where a matter is governed simultaneously by this Agreement and by another

international agreement to which both Contracting Parties are Parties, or by general principles of International Law, nothing in this Agreement shall prevent either Contracting Party or any of its investors who own investments in the territory of the other Contracting Party from taking advantage of whichever rules are the more favorable to his case.

(2)   If the treatment to be accorded by one Contracting Party to investors of the other

Contracting Party in accordance with its laws and regulations or other specific provisions or contracts is more favorable than that accorded by this Agreement, the more favorable treatment shall be accorded.

 

 

ARTICLE 11

Application of the Agreement

(1)   The Agreement shall apply to all investments, whether made before and remaining, or

after its entry into force.

(2)   This Agreement shall not apply to disputes existing before its entry into force.

 

 

ARTICLE 12

Entry into Force

This agreement shall enter into force on the date of exchanging the written notification by both Contracting Parties indicating that their respective internal legal procedures have been fulfilled.

 

 

ARTICLE 13

Duration and Termination

(1)This agreement shall remain in force for a period of ten years and shall continue in

force thereafter for another similar period, or periods unless one of the Contracting Parties notifies the other Party in writing of his intention to terminate the agreement, at least twelve months prior to expiration of that period.

(2)With respect to investments made prior the date of termination of this agreement, the

provisions of this agreement shall remain effective in force for further period of ten years from the date of termination.

(3)In witness whereof the undersigned, duly  authorized thereto by their respective

governments have signed this agreement.

 

 

Done in duplicate at Cairo on 27th  day of April 2004 in the Mongolian, Arabic and English languages, all the texts being equally authentic, in case of divergence of interpretation the English text shall prevail.

 

 

 

 

FOR THE GOVERNMENT OF                                                 FOR THE GOVERNMENT OF

 

MONGOLIA                                                                             THE ARAB  REPUBLIC OF EGYPT                                                                         

 

                                                                                    Agreed Minutes

 

 

On the Negotiations of the Agreement on Promotion and Protection of Investments between the Governments of the Arab Republic of Egypt and Mongolia.

The delegations of the Arab Republic of Egypt and Mongolia met in Cairo on February 5th ,

1998 for the negotiation on the draft agreement for thePromotion and Protection of Investments

between the Governments of the two countries.

The Mongolian Delegation expressed its comments on the said draft as follows:

 Delete the Paragraph No C from article 8.
 Change" Arbitral Tribunal" in the Paragraph 2, article 9 to be " Arbitration"
 Delete the Paragraphs No 3, 4 and 5 from article 9.
It was also agreed that they will initiate the necessary procedures for the signing at the earliest possible date between MIC (the concerned authority in Egypt) and The concerned authority in Mongolia. The text of the draft  agreement will be subject to the approval of concerned authorities in both countries.  The second round will be defined through the Diplomatic Channel.

Signed in Cairo on the 5th of February, 1998 in duplicate, in English language.

 

For the delegation of                                        For the delegation of

Arab Republic of Egypt                                   Mongolia