TNAG-2827-FCO40-4080-Investment-Protection-and-Promotion-Agreements-(IPPA)-betwee-1993 — Page 130

(f)

(g)

CONFIDENTIAL

3

was included

in the

relevant provision

of the IPPA

between the People's Republic of China and France.

Exact reciprocity was ensured for the definition of

for both parties and the Hong Kong satisfied that the existing definition

Hong Kong investors likely to benefit

"investors"

delegation were

would cover all

from an IPPA;

phrase was added, in Article 1(4), to make it clear

that re-investment returns shall enjoy the same

protection as returns;

No

the definition of "forces" in respect of Hong Kong in Article 1(c) of the model text was moved to Article

6 (3) of the initialled text, where it qualifies the

only reference to "forces" in the Agreement.

definition of forces was included in respect of

France. The French delegation took the view that while such a definition was necessary for Hong Kong in view non-govereign status, it was not necessary for

of its

France.

ARTICLE 2: Promotion and Protection of Investment and Returns

5.

Article 2(1) is similar to Article 2(1) of the Hong Kong model text, except that the qualifying phrase "subject to ita right to exercise powers conferred by its laws" was simplified to "in accordance with its laws and the provisions of this Agreement".

6.

Article

2(2) is similar to Article 2(2) of the Hong Kong model, except that a phrase was added to clarify the fact that neither Contracting Party shall de jure or de facto hinder the fair and equitable treatment enjoyed by investments.