Framework Agreement On The Asean Investment Area

Organizing investment training programs for ASEAN investment agency officials; Work programmes include joint training programmes, a high-level strategic planning meeting, a protocol amending the ASEAN Agreement on Investment Promotion and Protection (10) and a wide-ranging survey on the promotion of foreign employment within and within ASEAN. It has also set up the ASEAN NETWORK THAT links websites between the investment networks of its Member States in order to provide investment information, in order to increase the transparency of the ASEAN investment system and to give investors more access to investment information. This will help investors access general investment policy in ASEAN countries to facilitate their investment decision-making. AHIA convened a conference at which MINISTERS from ASEAN countries met with leaders from around the world to encourage private sector companies to meet, interact and explore opportunities in the region( 11). It was also agreed that the individual ASEAN countries should also consult with the private sectors of their respective countries on specific measures that could be taken to improve the investment climate. In this context, they urged the private sector to actively participate in these consultations (12). Each Member State presents, within six months of the signing of this agreement, a temporary exclusion list and, if necessary, a sensitive list for industrial sectors or investment measures (see above, paragraph 1), for which it cannot open ASEAN investors or move on to national treatment. These lists are an annex to this agreement. If a Member State is not in a position, for legitimate reasons, to submit a list within the time limit, it may apply for an extension to the AIA Council. As amended by the protocol signed in 2001-09-14: “Article 2 of the AIA agreement is replaced by the following text: 1. This agreement applies to all direct investments whose difference is (a) portfolio investments; and b) investment issues under other ASEAN agreements. 2. Without prejudice to the provisions of paragraph I, this agreement also includes direct investment in the following sectors and services, which are affected by beunzis for these sectors: (a) manufacturing; b) agriculture; c) fishing; (d) forestry; (e) mining and the extraction of stones and land.

3. This agreement also applies to direct investment in other sectors and services that can be agreed by all Member States for sectors.” This agreement does not affect the right of Member States to conclude other agreements that are not contrary to the principles, objectives and conditions of this agreement. As amended by the protocol signed in 2001-09-14: “Article 8 of the AIA agreement is amended as follows: (a) adding the following sentence as a new paragraph 4: “Member States notify the Council of future investment agreements or agreements that grant preferential treatment, which they conclude as soon as these agreements are concluded and enter into force.” The objective (3) of the AIA Framework Agreement is to create a competitive ASEAN investment space to “attract more and sustainably to the region and achieve a significant increase in FDI flows from both ASEAN and non-ASEAN sources, making ASEAN an attractive, competitive, open and liberal investment sector” (4). The agreement obliges Member States to “reduce or phase out investment rules and conditions, which could hinder investment flows and the implementation of investment projects in ASEAN” (5) and ensure the implementation of the AIA within the agreed timeframe.

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