INTERNATIONAL FACILITIES OF dEFENCE FOREIGN INVESTMENTS

Problem setting. Making investments in the developing countries and in the countries with transition economy in a politically and economically volatile environment investor risks to have his capital be restricted or even confiscated in case of change of political situation. Target of research. One of the main legal instruments to improve legal protection of foreign investments is international legal practice assuming international bilateral agreements on mutual attraction and protection of foreign investments, the so called bilateral investment agreements. Article’s main body. During the last decades foreign investors together with national business men have been interested in attracting of foreign capital and try to create a system of extra warranties protecting investors from non-commercial (political) risks arising from unstable political environment and connected with repressive actions of the governmental authorities. One of the elements of such a system of extra warranties is suggested to be a system of insurance of noncommercial risks. There is one more important instrument in protection of foreign investments such as applying of international minimal standard which has been formed under influence of a conception of responsibility of the country for making harm to foreign citizens and their property. But only after all national means of legal protection will be worked out and no satisfactory solution of the dispute will be found foreign investor has got a right to apply to the qualified international authorities for arbitration decision. The fact of that Ukraine is a leader among CIS countries on the quantity of cases of international arbitration where it acted as defendant speaks for itself. Conclusions and prospects for the development. The article considers international means of protection of foreign investments. Analysis of the principle of international minimal standard is carried out; the survey of international courts, competent to adjudicate investment disputes, is conducted as well.