A review of the China-Ghana Bilateral Investment Treaty, 1989

• Author: Philip Ebow Bondzi-Simpson, Felix Awuah
• Pages: 372-383

FRONTIERS OF LAW IN CHINA

VOL. 12 SEPTEMBER 2017 NO. 3

DOI 10.3868/s050-006-017-0021-6

ARTICLE

A REVIEW OF THE CHINA–GHANA BILATERAL INVESTMENT TREATY, 1989

Philip Ebow Bondzi-Simpson*, Felix Awuah**

Abstract Sino-Ghana business relationship has grown tremendously over the past two

decades. The legal environment of this relationship will be analyzed critically and

suggestions for improvement will be made in this article to further enhance this

burgeoning relationship. In October 1989, Ghana and China signed an agreement

concerning the encouragement and reciprocal protection of investment, known as the

China–Ghana Bilateral Investment Treaty, which came into effect on November 22,

1991. There will be a review of this agreement which sought to provide an equitable

treatment and enjoyment of protection in investments between the two countries based

on the Most Favored Nation principle.

Keywords investment treaties, China, Ghana, trade, environment, dispute resolution

INTRODUCTION .................................................................................................................... 372

I. CHINA–GHANA BILATERAL INVESTMENT TREATY.................................................. 374

A. Definition of Investment under the China–Ghana BIT...................................... 375

B. Scope of Application and Duration................................................................... 375

C. Promotion of Investment................................................................................... 376

D. Standard of Treatment....................................................................................... 376

E. Expropriation ....................................................................................................377

F. Repatriation of Capi tal ......................................................................................378

G. Dispute Resolution ............................................................................................ 379

II. FURTHER CRITICISMS AND RECOMMENDATIONS ................................................... 379

CONCLUSION........................................................................................................................ 383

INTRODUCTION

Evidence abounds that trade between China and Africa has increased in an

extra-ordinary fashion in the last two decades and Sino-Ghana business relationship is not

different from the larger picture. Foreign Direct Investment (FDI) in Africa has

* Philip Ebow Bondzi-Simpson, S.J.D., University of Toronto, Toronto, Canada; Professor, Founding

Dean, Faculty of Law, University of Cape Coast, Cape Coast, Ghana. Contact: ebowbondzi@gmail.com

** Felix Awuah, LL.M., London Metropolitan University, London, UK; Assistant Lecturer, Faculty of Law,

University of Cape Coast, Cape Coast, Ghana. Contact: felix.awuah@ucc.edu.gh