Environmental Engineering Reference
In-Depth Information
According to Art. 2 of the Convention Establishing the Multilateral Investment
Guarantee Agency (MIGA Convention), the objective is
to encourage the flow of
investments for productive purposes among member countries, and to develop
member countries in particular, thus supplementing the activities of the (
'
...
)
...
(World Bank) (
).
'
Therefore, Art. 2(a) of the MIGA Convention stipulates that
...
...
the agency issues
) against non-commercial risks in respect of
investments in a member country which flow from other member countries (
'
(
) guarantees (
...
'
These non-commercial risks are currency transfer, expropriation and similar mea-
sures, breach of contract, war and civil disturbance, according to Art. 11(a)(i to iv)
of the MIGA Convention. Under Art. 13(a)(ii) of the MIGA Convention, any
judicial person can receive the Agency
).
) (it is) incor-
porated and has its principal place of business in a member or the majority of its
capital is owned by a member or members or nationals thereof (
s guarantee, as long as
(
...
'
'
Art. 12 of the
MIGA Convention regulates eligible investments, which also includes FDIs. Art.
12(d) of the MIGA Convention mentions that certain investment requirements for
the MIGA Convention will be applicable. These requirements include
...
).
'
the eco-
nomic soundness of the investment and its contribution to the development of the
host country
'
(Art. 12(d)(i) of the MIGA Convention), the
compliance of the
'
'
investment with the host country
s laws and regulations
(Art. 12(d)(ii) of the
'
'
MIGA Convention), the
consistency of the investment with the declared develop-
ment objectives and priorities of the host country
'
(Art. 12(d)(iii) of the MIGA
'
Convention) and, finally,
the investment conditions in the host country, including
the availability of fair and equitable treatment and legal protection for the invest-
ment
'
(Art. 12(d)(iv) of the MIGA Convention).
Morocco and Germany are contracting states to the MIGA Convention.
264
According to Art. 13(a)(ii) of the MIGA Convention, the abovementioned SPV
would be an investor. The scope and application of Art. 12(d)(ii) and (iii) of the
MIGA Convention will be discussed later on in this thesis.
'
1.5.7 The Desertec Concept and Risks
Like every large scale project, the Desertec Concept faces a lot of different risks.
This assessment will only cover severe risks, which are political instability, state
accountability and transparency.
265
264
MIGA (
2013b
).
265
Joff´ (
2000
), 33 (45).
