Senegal and the United States signed a Bilateral Investment Treaty (BIT) in December 1983. The treaty provided for Most Favored Nations treatment for investors, internationally recognized standards of compensation in the event of expropriation, free transfer of capital and profits, and procedures for dispute settlement
- U.S. BITs require that investors and their “covered investments” (that is, investments of a national or company of one BIT party in the territory of the other party) be treated as favorably as the host party treats its own investors and their investments or investors and investments from any third country. The BIT generally affords the better of national treatment or most-favored-nation treatment for the full life-cycle of investment from establishment or acquisition, through management, operation, and expansion, to disposition.
- BITs establish clear limits on the expropriation of investments and provide for payment of prompt, adequate, and effective compensation when expropriation takes place.
- BITs provide for the transferability of investment-related funds into and out of a host country without delay and using a market rate of exchange.
- BITs restrict the imposition of performance requirements, such as local content targets or export quotas, as a condition for the establishment, acquisition, expansion, management, conduct, or operation of an investment.
- BITs give covered investors the right to engage the top managerial personnel of their choice, regardless of nationality.
- BITs give investors from each party the right to submit an investment dispute with the government of the other party to international arbitration. There is no requirement to use that country’s domestic courts.
Senegal has signed similar agreements for protection of investment with the following countries
- South Korea