TRATADOS BILATERALES DE INVERSIÓN EN EL ECUADOR: HISTORIA, ADOPCIÓN, CONTROVERSIAS Y DENUNCIA

Abstract

This paper explores the history of bilateral investment treaties and their development, analyzing the different political and economic situations within which these instruments of international investment law were formed. Its adoption is also examined in Latin America, and particularly in Ecuador as a mechanism to attract foreign direct investment (FDI) and its recent denunciation in May 2017. After exploring the arguments for this denunciation, this paper uses as an example the controversy arising between Ecuador and the French oil company Perenco to illustrate the common problems of international investment law: The change of public policies on the part of the countries that receive investment. In conclusion, it is explained how the current constitutional framework does not favor the attraction of FDI, and how Ecuador's complaint reflects the criticism of certain sectors to international law and investments. It emphasizes the need to adapt again to it, suggests options used in Europe to reconcile international law with national law.