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Part II The National Legal Framework, 6 National Regulation of Foreign Investment

From: The Three Laws of International Investment: National, Contractual, and International Frameworks for Foreign Capital

Jeswald W. Salacuse

From: Investment Claims (http://oxia.ouplaw.com). (c) Oxford University Press, 2023. All Rights Reserved. date: 04 March 2024

International economic law — Foreign Direct Investment — Control — Investment ‘in accordance with host state law’ — Debts — International organizations — Universal international organizations — Law of treaties — Privatization
The ability of a foreign investor to commit capital to a particular purpose in a given country depends on the laws and regulations of that country. As indicated in Chapter 5, unless a treaty provides otherwise, each state has complete sovereignty to control the movement of capital into its territory, to regulate all matters pertaining to the acquisition and transfer of property within its national boundaries, to determine the conditions for the exercise of economic activity by natural or legal persons, and to control the entry and activities of aliens.1 For the...
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