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Dear Members of the World Investment Network, I am pleased to share with you our IIA Issues Note on the reform of the regime of international investment agreements (IIAs). The note is based on chapter III of UNCTAD's World Investment Report, which was launched earlier this week. While almost all countries are party to one or more IIAs, many are dissatisfied with the current regime. Concerns relate mostly to the development dimension of IIAs, the balance of rights and obligations between investors and States, and the systemic complexity of the IIA regime. Countries' current efforts to address these challenges reveal four different paths of action: (i) some aim to maintain the status quo, largely refraining from changes in the way they enter into new IIA commitments; (ii) some are disengaging from the IIA regime, unilaterally terminating existing treaties or denouncing multilateral arbitration conventions; and (iii) some are implementing selective adjustments, modifying models for future treaties but leaving the treaty core and the body of existing treaties mostly unchanged. Finally, (iv) some opt for systematic reform that aims to comprehensively address the IIA regime's challenges in a holistic manner. While each of these paths has benefits and drawbacks, systemic reform could effectively address the complexities of the IIA regime and bring it in line with the sustainable development imperative. The systemic reform process of the IIA regime could follow a gradual approach with carefully sequenced actions: (i) defining the areas for reform, (ii) designing a roadmap for reform, and (iii) implementing it at the national, bilateral and regional level, with facilitation at the multilateral level. A multilateral focal point such as UNCTAD could support this holistic, coordinated and sustainability-oriented approach to IIA reform. UNCTAD's Investment Policy Framework for Sustainable Development (IPFSD) could offer guidance and the IIA Conference at UNCTAD's World Investment Forum, scheduled for 13-16 October in Geneva, could provide a platform for discussing it. With kind regards, James X. Zhan Director Investment & Enterprise Division United Nations Conference on Trade & Development Palais des Nations, Geneva Tel: +41 22 9175797 www.unctad.org/diae ____ AIB-L is brought to you by the Academy of International Business. For information: http://aib.msu.edu/community/aib-l.asp To post message: [log in to unmask] For assistance: [log in to unmask] AIB-L is a moderated list.