Ana Bruno & Associados, Sociedade de Advogados, RL | View firm profile
On April 29th, 2021, the Presidential Decree No. 107/21 was published in the Official Journal of the Republic of Angola, which aims to strengthen the relations of this State with the Government of the United Arab Emirates.
This agreement was intended, among other measures, to establish favourable conditions for investments in these States, in particular by private companies interested in investing.
Thus, recognising the importance of stimulating the initiative of these investors, this agreement foresees the need to guarantee a fair and equitable treatment to them, on a reciprocal basis.
Therefore, any eligible investor wishing to invest in the other State will now be able to count on additional guarantees, namely:
- Prohibition of unreasonable or discriminatory measures;
- Prohibition of performance measures and export restrictions;
- Fair and equitable treatment as to investment and return on investment (this treatment will necessarily be no less favourable than that accorded to investors from third states);
- Strong limitations on expropriation or nationalisation and duty of indemnity at fair market value (with the guarantee of immunity of government personal or immovable property);
- Free transfer of investment value in and out of the country in an expeditious, equitable and non-discriminatory manner;
- Guaranteed access to the courts and the settlement of disputes through arbitration, namely by the Centre for the Settlement of Investment Disputes in case of disputes between a Contracting State and an Investor of the other Contracting Party.
Finally, this agreement will be applicable to ongoing investments and to investments made after entering into force and will be valid for a period of 10 years, renewable for equal periods, unless terminated by either State.
To conclude, in our opinion, an important step has been taken towards intensifying the relations between the Contracting States, in order to foster the existing commercial relations between States.