Japan and Kuwait Sign Investment Agreement

Japan’s Ministry of Economy, Trade and Industry (METI) announced March 22 that Japan and Kuwait signed an investment agreement, the first such agreement between Japan and a member state of the Cooperation Council for the Arab States of the Gulf (GCC). Key provisions of the agreement include: (1) national treatment and most-favored nation treatment for investment (except in certain sectors); (2) extensive prohibition of performance requirements; (3) the obligation to observe any contracts concluded by the signatory state with investors; (4) investment protection provisions, including compensation for expropriations, etc.; and (5) the settlement of investment disputes between investors and the signatory state.