Analytical Note, February 2005
Developments on Discussions for the Improvement of the Framework for ICSID Arbitration and the Participation of Developing Countries.
The International Centre for settlement of Investment Disputes (ICSID) is established by the Convention on the Settlement of Investment Disputes between States and Nationals of Other States (the ICSID Convention) that entered into force on October 14, 1966. ICSID provides facilities and assists in the initiation and conduct of conciliation and arbitration proceedings. The expenses of the ICSID Secretariat are financed out of the budget of the World Bank. However, the costs of each arbitral proceedings are borne by the parties involved.
ICSID has an Administrative Council, a Secretariat and Panel of Conciliators and Arbitrators. The Administrative Council consists of one representative of each Contracting State. The President of the World Bank is the Chairman of the Administrative Council. Unless a Contracting State makes a contrary designation, its Governor for the Bank sits ex officio on ICSID’s Administrative Council. Annual meetings of the Council are held in conjunction with the joint World Bank/ International Monetary Fund annual meetings. The Panel of Conciliators and the Panel of Arbitrators consists of conciliators and arbitrators designated by each Contracting State who shall serve for renewable periods of six years. The Chairman of the ICSID also may designate ten persons to each Panel from different nationalities. The ICSID Secretariat consists of a Secretary-General and one or more Deputy Secretaries-General and the staff. The Secretary-General and the Deputy Secretary- General are elected by the Administrative Council, upon the nomination by the Chairman.
This article was tagged: Bilateral Investment Treaties (BITs), Dispute Settlement, International Monetary Fund (IMF), Investment Agreement