To the Senate of the United States:
With a view to receiving the advice and consent of the Senate to
ratification, I transmit herewith the Treaty Between the Government
of the United States of America and the Government of the
Republic of Bolivia Concerning the Encouragement and Reciprocal
Protection of Investment, with Annex and Protocol, signed at
Santiago, Chile, on April 17, 1998, during the Second Presidential
Summit of the Americas. I transmit also, for the information of the
Senate, the report of the Department of State with respect to this
Treaty.
The bilateral investment treaty (BIT) with Bolivia is the sixth
such treaty between the United States and a Central or South
American country. The Treaty will protect U.S. investment and assist
Bolivia in its efforts to develop its economy by creating conditions
more favorable for U.S. private investment and thus strengthen
the development of its private sector.
The Treaty is fully consistent with U.S. policy towards international
and domestic investment. A specific tenet of U.S. policy,
reflected in this Treaty, is that U.S. investment abroad and foreign
investment in the United States should receive national treatment.
Under this Treaty, the Parties also agree to customary international
law standards for expropriation. The Treaty includes detailed
provisions regarding the computation and payment of
prompt, adequate, and effective compensation for expropriation;
free transfer of funds related to investments; freedom of investments
from specified performance requirements; fair, equitable,
and most-favored-nation treatment; and the investor’s freedom to
choose to resolve disputes with the host government through international
arbitration.
I recommend that the Senate consider this Treaty as soon as possible,
and give its advice and consent to ratification of the Treaty
at an early date