Approval Of The Amendments To The ICSID Rules

1. INTRODUCTION

On March 21, 2022, Member States of the International Centre for Settlement of Investment Disputes ("ICSID") approved a comprehensive set of amendments to the ICSID's flagship rules for resolving disputes between foreign investors and their host States, after a five-year long process. This marks the fourth time the ICSID rules have been updated. Also, this is the most extensive review until now, as also explicitly acknowledged by the ICSID.¹ The amendments will come into effect on July 1, 2022 and will apply to arbitrations commenced from that date onwards.

The amendment of the ICSID rules aim at modernising the rules based on case experience, expediting proceedings, making the process cost effective, enhancing the availability of alternative dispute resolution, leveraging information technology to reduce the environmental footprint of ICSID proceedings, increasing transparency and addressing former deficiencies such as a lack of guidance