2017 | Agosto 12
It has been ten years since Bolivia denounced the International Centre for Settlement of Investment Disputes Convention (“ICSID Convention”), becoming the first country to withdraw from the ICSID Convention in history. True, several countries have never even signed the ICSID Convention in the first place (including large economies such as Brazil and India), but until 2007, no countries had denounced the treaty. After Bolivia´s denunciation, Ecuador and Venezuela soon followed.
Several articles have touched upon the apparent crisis of ISDS in Latin American countries as a result of the ICSID withdrawals, and the attempt of UNASUR to establish a new regional investment arbitration center for South America. It would be interesting to analyze the influence of Bolivia´s withdrawal over foreign direct investment in the country, but any such analysis would need to factorize many features of the Bolivian economy and political environment. That task is not, by any means, an easy one.