Dual Nationality Problem In International Investment Arbitration

"Multiple nationality" is a status in which a person is concurrently regarded as a citizen under the laws of more than one state. "Dual nationality," being a citizen of two states, is the most common type of multiple nationality and therefore the various definitions of "multiple nationality" is always inclusive of the term "dual nationality.". In Article 2 (b) of the European Convention on Nationality, "multiple nationality" is defined as "the simultaneous possession of two or more nationalities by the same person."

In today's highly globalized world, an investor may have more than one nationality, including the ones of both home and host state; this kind of situation can complicate the protection of an investment and the jurisdiction in arbitration.¹ In such a case, the question arises, whether an investor who holds a dual nationality of both the state where the investment has been made and of the home country can initiate arbitration proceedings against host