bilateral investment treaty (BIT)

(foreign investment) A treaty between two countries with the goals of ensuring investments abroad of national or most favored nation treatment; prohibiting the imposition of performance requirements; and allowing the investor to engage top management in a foreign country without regard to nationality. BITs ensure the right to make investment-related transfers and guarantee that expropriation takes place only in accordance with accepted international law. BITs also guarantee access by an investing party to impartial and binding international arbitration for dispute settlement.

Was this article helpful?

Related Articles

Need Support?

Can't find the answer you're looking for?
Contact Support