A/70/301
health. In addition, in 2015, 10 mandate holders expressed public concern about the
impact of investment and free trade agreements on human rig hts. 2
B.
Overview of international investment and free trade agreements
10. International investment tends to be managed through treaty -based provisions
within international law. There are a number of different mechanisms, known
collectively as international investment agreements. International investment
agreements are designed to protect foreign investors and their interests within States
hosting investment projects. The three main types are:
(a) Bilateral investment treaties, which are signed between two States and
focus on investment;
(b) Regional investment treaties that are signed between multiple countries
within a region and also focus on investment;
(c) Provisions within multilateral and plurilateral trade and investment
agreements which contain clauses on both investment and free trade, such as the
North American Free Trade Agreement, the General Agreement on Trade in Services
and the Energy Charter Treaty.
11. Those legal mechanisms, which constitute a primary source of public
international law, first came into force in the late 1960s, before growing
exponentially in the 1990s. At the end of 2014, there were 2,923 bilateral
investment treaties and 345 other investment agreements in force, making the total
number of international investment agreements 3,268. 3 The volume of bilateral
investment treaties is decreasing, but the number of international investment
agreements overall remains fairly stable owing to recent trends in investment
provisions, equivalent to those commonly found within bilateral investment treaties,
increasingly being included within broader free trade agreements. For example, the
United States of America is concluding negotiations with countries from Asia for
the Trans-Pacific Partnership Agreement, which includes investment features
commonly found in bilateral investment treaties. The inclusion of investment
management provisions within free trade agreements demonstrates the close links
and shared neoliberal intellectual foundations of international investment and fre e
trade.
12. The majority of investment treaties are negotiated between developing and
developed countries. For example, 75 per cent of bilateral investment treaties are
estimated to be between developing and developed countries. 4 However, the
proportion of South-South investment agreements is growing. Developing countries
enter into the agreements to open up their markets to foreign investors because of
the expectation of jobs, investment and growth in gross domestic product (GDP).
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3
4
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Available from ohchr.org/EN/NewsEvents/Pages/DisplayNews.aspx?NewsID= 16031&LangID=E.
United Nations Conference on Trade and Development (UNCTAD), “IIA issues note: recent trends
in IIAs and ISDs” IIA issues notes, No. 1 (February 2015). Available from http://unctad.org/en/
PublicationsLibrary/webdiaepcb2015d1_en.pdf.
Howard Mann, “International investment agreements, business and human rights: key issues and
opportunities”, prepared by the International Institute for Sustainable Devel opment for John
Ruggie, Special Representative of the Secretary-General on the issue of human rights,
transnational corporations and other business enterprises, February 2008.
15-12526