Assumption of Jurisdiction by Pakistani Supreme Court in Reko Diq Case: Another Violation of International Investment Law

Abstract

Purpose: This paper discusses that Pakistani judicial approach to separability, arbitrability and grounds to assume jurisdictions to decide these mattes does not sit well with the ICSID jurisprudence.
 Design/Methodology/Approach: Qualitative approach has been used.
 Findings: The Supreme Court’s judgment in Reko Diq is discussed in the light of awards rendered by ICSID to establish that the jurisdiction to decide the separability of arbitration agreement, arbitrability of a dispute or subject matter does not rest with a domestic court where parties have already conferred jurisdiction to determine these matters to ICSID and that Pakistani court cannot use any ground to assume jurisdiction over these matters. 
 Implications/Originality/Value: The paper concludes that the judicial system of Pakistan needs reforms to formalize and ascertain the role of domestic arbitration councils in alignment with the ICSID. This will help Pakistani firms competing in international markets to get necessary legal support at home in line with international standards.