Measures to Safeguard the Balance of Payments

By：Agreement on Investment Article 11th Update：2016-05-27

In the event of serious balance of payments and external financial difficulties or threat thereof, a Party may adopt or maintain restrictions on investments, including payments or transfers related to such investments.It is recognised that particular pressures on the balance of payments of a Party in the process of economic development may necessitate the use of restrictions to ensure, inter alia, the maintenance of a level of financial reserves adequate for the implementation of its programme of economic development.
The restrictions referred to in Paragraph 1 shall:
(a) be consistent with the Articles of Agreement of the IMF;
(b) not discriminate among the Parties;
(c) avoid unnecessary damage to the commercial,economic and financial interests of any other Party;
(d) not exceed those necessary to deal with the circumstances described in Paragraph1;
(e) be temporary and be phased out progressively as the situation specified in Paragraph 1 improves; and
(f) be applied such that any other Party is treated no less favourably than any third country.
Any restrictions adopted or maintained by a Party under Paragraph 1 or any changes therein, shall be promptly notified to the other Parties.