The events during the past few months have resulted in various arbitrations knocking at the doors of the Government of India (“GoI”) in terms of the Bilateral Investment Treaties (“BITs”) executed by GoI with various countries around the world. In most of these arbitrations, one is likely to see the GoI defending claims for damages arising from its failure to protect investments in India of the investors from other contracting countries as well as its failure to resolve issues related to erosion of investments.
Experts and businesses around the globe feel that, irrespective of the outcome, arbitration under BITs is an experience any country doesn’t need, as it implies wide publicity of disputes with the very investors such country would be attempting to attract.