This Practice Note discusses the meaning of the terms “investor” and “investment” as used in investment arbitration in the GCC Countries. In doing so, the note defines the varying scope of these terms across investment instruments in place in the Gulf.

The Practice Note further explores the limits placed on an arbitral tribunal's jurisdiction by reference to the variable definitions of “investor” or an “investment” under individual investment instruments. In doing so, it discusses various threshold requirements, including the timing and place of the investment and the compliance of the investment with host State law. Annex 1 contains a summary table of the various definitions given to “investor” and “investment” by individual investment instruments of relevance to the region.

Finally, the note investigates the nationality requirement, which is key to establishing a tribunal's jurisdiction under regional and international investment instruments, and opportunities of forum shopping to which this gives rise.

AIC: Arab Investment Court, established under the Arab Investment Agreement.

Arab Investment Agreement: Unified Agreement for the Investment of Arab Capital in the Arab States, signed in Amman, Jordan, on 26 November 1980, as amended in 2013.

BIT: Bi-lateral investment treaty.