On approval of the agreement between the Government of the Republic of Kazakhstan and the Government of the Italian Republic on promotion and mutual protection of investments
Decree Of The President Of The Republic Of Kazakhstan. May 22, 1995 N 2294
In accordance with Article 2 of the law of the Republic of Kazakhstan dated December 10, 1993" on granting temporary additional powers to the president of the Republic of Kazakhstan and local akims":
1. To approve the agreement between the Government of the Republic of Kazakhstan and the Government of the Italian Republic on the promotion and mutual protection of investments, signed in Rome on September 22, 1994.
2.this decree comes into force from the date of its publication.
President of the Republic of Kazakhstan
Investment promotion between the Government of the Republic of Kazakhstan and the Government of the Republic of Kazakhstanitalia, as well as an agreement on protection
The Government of the Republic of Kazakhstan and the Government of the Republic of Italy, hereinafter referred to as the contracting parties, wish to create favorable conditions for economic cooperation between the two countries, especially in relation to investments, capital of one of the Contracting Parties in the territory of the other Contracting Party on a mature basis, and understand that the assistance and mutual protection of such investments, The following is hereby agreed::
Article 1definitions
1.for the purposes of this Agreement: the term "investment" means any type of property in which an individual or legal entity of one contracting party has invested funds in the territory of the other contracting party before or after the entry into force of this Agreement, independent of the legal form and structure chosen in accordance with the laws and resolutions of that party. Without limiting the general meaning of all of the above, the term "investment" includes, but not only them, namely: a) movable and immovable property and any right to property "in rem", which includes a real guarantee of the rights of a third party to the property to the extent that it is subject to; b) shares, debt receipts, Securities and other; C) loans divided into monetary amounts or any rights to services that have economic value due to investment, as well as income investment and capital gains derived from investment; d) copyright commercial trademarks, patents, industrial projects and other rights to intellectual and technical property, know-how, trade secrets, trade names and intangible assets; e) any economic rights acquired by law or contract, and any license or exclusive right granted in accordance with the current regulations on economic activity, which includes the right to search, extract and use natural resources; f) any market increase in the initial investment. Any change in the authorized investment object in accordance with the laws and other regulatory acts of the Contracting Party on the territory of which the investment was made does not change its nature as an investment. 2. The term" investor " means: individuals and legal entities of any other Contracting Party that have made investments in the territory of one of the Contracting Parties in accordance with its laws and resolutions, as well as foreign native enterprises, branches and divisions under the control of any of the above-mentioned individuals and legal entities. 3.the term" individual " shall refer to any individual who has acquired his citizenship in accordance with the laws of this country in relation to any of the Contracting Parties. 4. The term" legal organization " refers to any organization that has its head office on the territory of one of the Contracting Parties in relation to any of the Contracting Parties and is recognized by the state as institutions, corporations, partnerships, foundations and associations, regardless of the degree of their responsibility. 5. The term" income " should refer to income accumulated from investments, namely income or interest, income in the form of interest, income from capital gains, payment of dividends, royalties or assistance, maintenance and other payments, as well as compensation in the form of products, including, but not limited to, raw materials, manufactured products or livestock. 6.the term" territory "should mean" sea zones " in addition to zones within the boundaries of land borders. This also includes maritime and underwater areas that exercise sovereign rights over the Contracting Parties and sovereignty and legal rights under international law. 7. "Investment Agreement" means an agreement between one of the Contracting Parties (or its agencies or own enterprises) in respect of investments and an investor of the other Contracting Party. 8. "Avoidance regime" also means at least a regime such as a national regime or a more favorable regime. 9. The" right to freedom " refers to the right of the second Contracting Party to make investments in its territory.
Article 2 promotion and protection of investments
1.both Contracting Parties must encourage investors of the other contracting party to make investments in their territory. 2.investors of one of the contracting parties must be granted the right to a permit for investment activities in the territory of the other contracting party in cases not less than those concluded in accordance with paragraph 1 of Article 3. 3.the contracting parties must constantly guarantee fair and favorable conditions for investments by investors of the other Contracting Party. The contracting parties must ensure that investments by investors of the other contracting party in the territory of one, as well as the management, maintenance, operation, reconstruction or distribution of companies and enterprises for which these investments were made, are not subject to any unjustified or prejudicial measures. 4.each Contracting Party must create and maintain a legal basis on its territory that can guarantee investors the stability of the regime of legality, including compliance with all obligations assumed in relation to each particular investor in the spirit of goodwill.
Article 3 regulations on the national regime and the most favorable regime
1.the Contracting Parties, within the boundaries of their own territory, must ensure a regime not less favorable for investments made by investors of the other Contracting Party and the income received from them than for investments made by their citizens or investors of a third country and the income received from them. 2. If, on the basis of the laws of one of the parties or existing international obligations or obligations that may be introduced in the future, one of the Contracting Parties has a legal basis on which it is possible to create a more favorable regime for investors of the other contracting party than the regime provided for in this Agreement, such a regime for investors of the other contracting party is also created for investors of the relevant contracting party and unfulfilled relations. 3. The provisions of Paragraphs 1 and 2 of this article do not apply to the priorities and privileges that one Contracting Party makes to investors of third countries as members of a customs or economic union, a free economic zone of the Common Market, Regional or small regional agreements, international multilateral economic agreements and agreements signed in order to avoid double taxation or facilitate international trade.
Article 43 compensation for damages and losses
1.if investors of one of the Contracting Parties have suffered losses or losses due to their investments in the territory of the other contracting party as a result of war, other forms of armed conflict, emergency, civil misconduct or similar events, the contracting party for which these investments were made must provide adequate compensation for such losses and losses, regardless of whether they were caused by state forces or other entities. Compensation payments must be transferred freely and without unjustified delays. 2. A regime should be developed for the investors in question that is no less favorable for investors in a third country than the regime concluded for citizens of the other Contracting Party during these events.
Article 5: acquisition and expropriation by the state
1.this Agreement may permanently and temporarily restrict investors ' right to own, own, manage or use investments, except as specifically provided for in local laws or rules and regulations, which are guided by courts or tribunals with jurisdiction. 2. Investments of investors of one of the Contracting Parties shall not be subject to "de jure" or "de facto" directly or indirectly nationalization, expropriation, requisition or any similar measures in the territory of the other Contracting Party, except for the exchange of state goals and interests and indemnity, full and effective compensation and that these measures shall be applied on a non-discriminatory basis and in accordance with all legal rules and procedures. 3. Compensation must be established on the basis of the actual market just before the decision on nationalization or expropriation is made, or when the investor is informed about it, or before the public is informed about it. In the absence of mutual understanding between the owner-party and the investor during the process of nationalization or expropriation, compensation must be established on the basis of the same parameters and Exchange courses that are taken into account in the documents on the introduction of investments. For any such compensation, the exchange rate must be an exchange rate that takes precedence over the date immediately preceding the announcement of nationalization or expropriation. 4. Without limitation of the scope of the above paragraph, if the object of nationalization, expropriation or similar actions is a company with foreign capital, the investor's share price will be carried out in a currency not lower than its original value, with the exclusion of the amount of capital and losses, multiplied by the increase in capital and the revaluation of 5. If compensation is paid in the currency in which the foreign investor made the investment, to the extent that this currency remains liquid, or in any other currency that is acceptable to the investor, it will indeed be considered committed. 6.compensation is considered paid on time if it is carried out without unjustified delay and in any case within one month. 7.compensation must include interest accrued on the basis of the London interbank deposit market (LIBOR) offer rate six months from the date of nationalization or expropriation to the date of payment. 8. A citizen or company that claims that all or part of the investment of any of the contracting parties has been expropriated must have the right to file a case with the relevant legal or administrative bodies of the other Contracting Party in order to establish that such expropriation has occurred, if any, and that such expropriation and its compensation are in compliance with the principles of international law, and 9. In the absence of an agreement between the investor and the responsible body, the amount of compensation will be determined in accordance with the dispute resolution procedures in accordance with Article 9 of this Agreement. Compensation will be freely transferred. 10.the provisions of Paragraph 2 of this article also apply to income received from investments and, in case of cancellation, to the amounts for liquidation. 11.for this purpose, the owner or his trustee has the right to purchase this product at the market price if the product has not passed partially or completely after its destruction.
Article 6capital, return of income and income
1. each Contracting Party shall ensure that investors of the other Contracting Party can, without unjustified delays, transfer the following in any liquid currency: a) capital and additional capital, which includes further invested income used to support and increase investments; b) net income, dividends, royalties, assistance and maintenance fees, interest and other income; C) income from the total or partial sale or total or partial liquidation of investments; (d) Finance that repays debts related to investments and payment of interest; (e) remuneration and assistance paid to citizens of one Contracting Party in the amount and method stipulated by applicable national laws and regulations for work performed and services rendered in connection with investments made in the territory of the other Contracting Party. 2. Without limiting the scope of Article 3 of this Agreement, the Contracting Parties undertake to make the transfers referred to in Paragraph 1 of this article in cases where they are made in respect of investments made by investors from third countries, if they are more convenient.
Article 7subrogation
If one of the Contracting Parties or its institution provides a guarantee against non-commercial risks for investments made by one of its investors in the territory of the other Contracting Party and makes payments to the specified investor on the basis of this guarantee, the second contracting party must recognize the transfer of the investor's rights to the first contracting party. In case of subrogation, the investor does not make claims related to subrogation and committed subrogation, unless he is a representative of the Contracting Party or any of its institutions. With regard to the transfer of payments, the provisions of Articles 4, 5 and 6 of this Agreement shall apply in connection with the same transfer to the Contracting Party or its institution.
Article 8The procedures for transferring funds
1.the transfer of funds referred to in Articles 4, 5, 6 and 7 must be carried out without delay without grounds and in all cases within 6 months after the satisfaction of all tax obligations and must be in liquid currency. All transfers of funds must be made at the priority of the exchange course as of the date of the investor's application for the transfer of funds, with the exception of the provisions of Paragraph 3 of Article 5 regarding the exchange course used in the case of nationalization or expropriation. 2. Tax liabilities in the previous paragraph are considered settled after the implementation of the provisions contained in the law of the contracting party in whose territory the investment was made.
Article 9 resolution of disputes between the investor and the Contracting Parties
1.any disputes that may arise between investors of one contracting party and the other contracting party regarding investments, including disputes about the amount of compensation for them, should be resolved on a friendly basis, if possible. 2.if the investor and the legal entity of one of the contracting parties provide for the conclusion of an investment agreement, the procedure considered for such an investment agreement must be used. 3. If such disputes are not resolved amicably within six months from the date of submission of a written application for settlement of this dispute, the said investor may, at its discretion, submit the dispute to the jurisdiction of: a) a court of territorial jurisdiction of the Contracting Party; b) special arbitration in accordance with the arbitration rules of the UN Commission on international trade law (UNCITRAL), and the owner of the contracting party undertakes to accept the case for consideration by the said arbitration; (C) under the Washington Convention of March 18, 1965 on the settlement of investment disputes between states and citizens of other states, an International Center for resolving investment disputes to implement arbitration procedures if the Contracting Parties have joined it. 4. The Contracting Parties shall, through diplomatic channels, hesitate to negotiate on any of the matters under which arbitration or judicial proceedings are being carried out, until they are completed, and if one of the contracting parties does not refuse to obey the decision of the arbitration court or court during the period considered by this decision, or during the period that may be determined on the basis of the rights of international or domestic norms that may apply to the case.
Article 10 settlement of disputes between the contracting parties
1.any dispute that may arise between the Contracting Parties in connection with the interpretation and application of this Agreement shall be settled, if possible, on a friendly basis through diplomatic channels. 2.if the dispute is not settled within six months from the date of submission of a written statement by one of the Contracting Parties to the other Contracting Party, the dispute shall be submitted to a special arbitration court at the request of one of the contracting parties, as considered in this article. 3. Each of the Contracting Parties shall appoint a member of the court within two months from the date of the request for consideration by the arbitration court, which shall be established as follows. The chairman must be appointed within three months from the date of appointment of two other members. 4.if no appointments have been made during the period covered by paragraph 3 of this article, each Contracting Party may apply for an appointment to the president of the International Court of justice in the absence of another agreement. If the chairman of the court is a citizen of one of the Contracting Parties or he cannot make an appointment for any reason, it is necessary to apply to the deputy chairman of the court. If the deputy chairman of the court is the first citizen of the Contracting Parties or cannot make an appointment for any reason, it is necessary to invite the largest in the activities of the International Court of justice, who is not a citizen of one of the Contracting Parties, to make the appointment. 5. The arbitration court must make a decision by a majority vote and the execution of its decisions must be mandatory. The contracting parties must pay the costs of the arbitration proceedings and the costs of their representatives hearing the case. The chairman's expenses and any other expenses must be divided equally between the Contracting Parties. The arbitration court must establish its own procedures.
Article 11The relations between the governments
The provisions of this Agreement shall operate independently of the existence of diplomatic and consular relations between the Contracting Parties.
Article 12application of other provisions
1.if the case is governed by this Agreement or other international agreement signed by the Contracting Parties or by provisions of general international law, the Contracting Parties and their investors must apply the most favorable provisions. 2.the most favorable regime shall apply if any regime established by one of the Contracting Parties for investors of the other Contracting Party in accordance with its laws and regulations or other provisions or a special contract, permit or investment agreement is more favorable than is provided for by this Agreement. If the contracting party-owner does not apply such a regime in accordance with the above, and the investor suffers damage as a result of this, the investor must have the right to receive compensation for such damage in accordance with Article 4. 3.if, after the date of investment, changes are made to the law, rules, acts and measures of economic policy directly or indirectly regulating investments, the regime when the investment is carried out at the request of the investor must be in effect.
Article 13 introduction to the application
This Agreement shall enter into force from the date when the contracting parties declare to each other that their respective constitutional procedures have been completed.
Article 14 duration and termination of application
1.this agreement must remain valid for 10 years from the date of receipt of the statement under Article 13 and remain valid for an additional 5 years after this period, unless one of the Contracting Parties cancels it in writing one year before the expiration of its validity period. 2.if investments are made before the expiration date of the validity period, as provided for in Paragraph 1 of this article, the provisions of articles 1-12 remain in force for an additional five years after the specified dates. To confirm this, the signatories below have signed this agreement on the basis of the authority granted by their respective governments. In Rome, on September 22, 1994, three copies were made, each in Kazakh, Italian and English, as well as the strength of all texts. In case of any differences of opinion, the text in English will prevail.
For the Government of the Republic of Kazakhstan for the Government of the Italian Republic
President
Republic of Kazakhstan
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