The Bilateral Investment Treaty (BIT) between the GOI and (UAE) was renewed and will be in force w.e.f. from 31st August, 2024 to give continuity of investment protection to investors of both the countries.
India – UAE BIT 2024 is expected to increase the comfort level and boost the confidence of the investors by assuring minimum standard of treatment and non-discrimination while providing for an independent forum for dispute settlement by arbitration.
The signing and enforcement of the BIT reflects both nations' shared commitment towards enhancing economic cooperation and creating a more robust and resilient investment environment. The Treaty is expected to pave the way for increased bilateral investments, benefiting businesses and economies in both countries.
As per the renewed treaty, India has reduced the time period for foreign investors to seek international arbitration from five years to three years and as per the Investor-State Dispute Settlement (ISDS) mechanism, if the Indian judicial system is unable to resolve a dispute within 3 years, investors can resort to international arbitration.
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