I
1. Resolution No. 214, adopted by the Board of Governors of the International
Bank for Reconstruction and Development on September 10, 1964, provides
as follows:
"RESOLVED:
(a) The report of the Executive Directors on "Settlement of Investment
Disputes," dated August 6, 1964, is hereby approved.
(b)
The Executive Directors are requested to formulate a convention establishing
facilities and procedures which would be available on a voluntary basis
for the settlement of investment disputes between contracting States
and Nationals of other contracting States through conciliation and arbitration.
(c)
In formulating such a convention, the Executive Directors shall take
into account the views of member governments and shall keep in mind
the desirability of arriving at a text which could be accepted by the
largest possible number of governments.
(d)
The Executive Directors shall submit the text of such a convention to
member governments with such recommendations as they shall deem appropriate."
2.
The Executive Directors of the Bank, acting pursuant to the foregoing
Resolution, have formulated a Convention on the Settlement of Investment
Disputes between States and Nationals of Other States and, on March 18,
1965, approved the submission of the text of the Convention, as attached
hereto, to member governments of the Bank. This action by the Executive
Directors does not, of course, imply that the governments represented
by the individual Executive Directors are committed to take action on
the Convention.
3.
The action by the Executive Directors was preceded by extensive preparatory
work, details of which are given in paragraphs 6-8 below. The Executive
Directors are satisfied that the Convention in the form attached hereto
represents a broad consensus of the views of those governments which accept
the principle of establishing by inter-governmental agreement facilities
and procedures for the settlement of investment disputes which States
and foreign investors wish to submit to conciliation or arbitration. They
are also satisfied that the Convention constitutes a suitable framework
for such facilities and procedures. Accordingly, the text of the Convention
is submitted to member governments for consideration with a view to signature
and ratification, acceptance or approval.
4. The Executive Directors invite attention to the provision of Article
68(2) pursuant to which the Convention will enter into force as between
the Contracting States 30 days after deposit with the Bank, the depositary
of the Convention, of the twentieth instrument of ratification, acceptance
or approval.
5. The attached text of the Convention in the English, French and Spanish
languages has been deposited in the archives of the Bank, as depositary,
and is open for signature.