Mechanisms for Investment protection, including dispute resolution between investors and State, are important for the flows of investments. The investor protection is one of the important features of a good business climate in a country.
The Republic of Burundi underscores the importance of protecting investors and has implemented since 2008 an investment code that guarantees any natural or legal person wishing to establish a company on its territory, freedom of implementation and capital investment, the property right to any natural or corporate body without any discrimination.
Burundi has through domestic law mechanisms always shown determination to protecting investments.
Consequently, national laws and regulations have been shaped to ensure:
Burundi has always aimed to protect the investment. Consequently, national laws and regulations have been adopted to ensure:
- Freedom of establishment and investment.
- Recognition of property right for any natural or legal person without any discrimination.
- Prohibition of discrimination based on nationality as far as the acquisition or rental of property is concerned.
- Free transfer of private capital and income.
- Free transfer of foreign staff earnings.
- Free transfer of capital income in form of dividends.
- Non-nationalization and non-expropriation of investments carried out on the Burundian territory.
- Although the national law mechanisms for protecting investment are that important, they must be in harmony with the international law mechanisms.
Taking into account to what extent the national law mechanisms for protecting investment are important, they must and have been completed by international law mechanisms.
International law mechanisms for protecting investment:
Burundi has recently acceded to the main international instruments enshrining the protection of investment.
Bilateral investment protection agreements have been signed with several countries during the negotiation of cooperation agreements.
In order to promote foreign investment, Burundi has ratified international conventions relating to guaranteeing and protecting of investment.
These include the accession of Burundi to the Multilateral Investment Guarantee Agency (MIGA) and the International Centre for Settlement of Investment Disputes (ICSID).