ARBITRATION PROCEDURE FOR RESOLVING INVESTMENT DISPUTES IN ACCORDANCE WITH THE ICSID CONVENTION (THE INTERNATIONAL CENTRE FOR SETTLEMENT OF INVESTMENT DISPUTES)

Abstract

The ICSID Convention provides a well-established arbitration system that has been utilized by both states and investors for over 50 years. To date, ICSID arbitration has considered 19 lawsuits filed against Kazakhstan, with the number expected to rise in the future. The aim of this paper is to uncover the content of the ICSID arbitration process. The article examines the jurisdiction of the ICSID, including the criteria for a dispute to be considered for resolution. The paper provides an example of a case in which Kazakhstan challenged the ICSID's jurisdiction. The procedure for ICSID arbitration, starting with the request for arbitration and culminating in a binding arbitral award, is outlined. The study concludes by emphasizing the importance of the ICSID system for resolving investment disputes fairly and impartially, and the significance of the binding nature of the arbitral award. The methodology is based on legal literature analysis and a comprehensive literature review of Convention, including its rules and jurisdiction, with a focus on relevant legal precedents and cases involving Kazakhstan. The author emphasizes that the future of global arbitration is facing scrutiny due to the challenges in enforcing ICSID arbitration awards and suggests that reforms are imperative. Additionally, the author notes that arbitration law in Kazakhstan is under-researched and emphasizes the importance of increasing research in this field, as it will assist the country in cultivating its own arbitration lawyers and enhancing the judiciary's understanding of the subject. This will certainly improve the country's image as a place for conducting business and increase its attractiveness for foreign investments.