Policy Research Domains (Major Policy Research Domains) III. Formulating Japan's Strategy in Response to Globalization and Deepening Economic Interdependence in Asia

The Desirable Form of Legal Protection for Overseas Investments

Project Leader/Sub-Leader


KOTERA Akira Faculty Fellow



MATSUMOTO Kayo Consulting Fellow



2006 - 2008

Foreign investments are exposed to considerable risk, depending on factors such as the conditions in the recipient countries. Among these risks, those (political and social risks) that may cause business failure as a direct result of acts by the recipient country need to be addressed through a public framework, and in recent years investment agreements have been attracting attention as a type of public framework. Of particular note is that the procedure for resolving disputes between investors and states (investment agreements arbitration) provided in investment agreements functions as real investor protection. In our research we will analyze the legal principles of arbitration awards and will study legal protection for overseas investment. The analysis of legal principles will have considerable implications for the drafting of the investment-related provisions in future investment agreements or economic partnership agreements that Japan concludes in the future. At the same time, it will serve as a reference for company management when choosing investment targets or investment methods. In addition, this will influence the design of investment insurance schemes offering similar functions.

Until October 31, 2008

Major Research Results


RIETI Discussion Papers

RIETI International Seminar


RIETI Discussion Papers