About foreign investment
Bilateral investment treaties (BITs) are agreements between two countries that include rules to promote and protect two-way investment between those countries. These investment rules provide protections and greater certainty for Australian investors overseas (and foreign investors in Australia), including provisions to ensure non-discrimination, restrictions on expropriation of an investor's property, and fair and equitable treatment for investments.
Review of Australia’s bilateral investment treaties
DFAT is undertaking a bilateral investment treaty review, which will unfold over four years and commenced in July 2020. This discussion paper sets out, for context, some background, possible policy options and suggested questions for consideration.
DFAT has received submissions and continues to welcome submissions on the review.
United Nations Convention on Transparency in Treaty-based Investor-State Arbitration
Australia ratified the United Nations Convention on Transparency in Treaty-based Investor-State Arbitration on 17 September 2020. The Convention is an instrument by which the Parties consent to the application of the UNCITRAL Rules on Transparency in Treaty-based Investor-State Arbitration to investment treaties concluded prior to 1 April 2014. The Rules on Transparency are a set of procedural rules for making information on investor-State arbitration arising under investment treaties publicly available. The Convention entered into force for Australia on 17 March 2021, and applies to Australia's network of older-style investment treaties, in accordance with its provisions.
Our bilateral investment treaties
Australia is party to the following bilateral investment treaties.
Argentina (Date of entry into force: 11 January 1997)
China (Date of entry into force: 11 July 1988)
Czech Republic (Date of entry into force: 29 June 1994)
Egypt (Date of entry into force: 5 September 2002)
Hungary (Date of entry into force: 10 May 1992)
Laos (Date of entry into force: 8 April 1995)
Lithuania (Date of entry into force: 10 May 2002)
Pakistan (Date of entry into force: 14 October 1998)
Papua New Guinea (Date of entry into force: 20 October 1991)
Philippines (Date of entry into force: 8 December 1995)
Poland (Date of entry into force: 27 March 1992)
Romania (Date of entry into force: 22 April 1994)
Sri Lanka (Date of entry into force: 14 March 2007)
Turkey (Date of entry into force: 29 June 2009)
Uruguay (Date of entry into force: 23 January 2022)
Agreement between Australia and Uruguay on the Promotion and Protection of Investments
This agreement replaces the Agreement between Australia and Uruguay on the Promotion and Protection of Investments.
Treaties terminated
Hong Kong (Date of entry into force: 15 October 1993. Date terminated: 17 January 2020)
Australia and Hong Kong agreed to terminate this Agreement (along with its 15 year survival clause contained in Article 14) upon entry into force of the Investment Agreement between the Government Australia and the Government of the Hong Kong Special Administrative Region of the People’s Republic of China (the AU-HK Investment Agreement) which entered into force on 17 January 2020. Protections for Australian investors in Hong Kong and Hong Kong investors in Australia are available under the AU-HK Investment Agreement. Further details can be found on the AU-HK Investment Agreement page.
India (Date of entry into force: 4 May 2000. Date terminated: 23 March 2017)
The Agreement was unilaterally terminated by India on 23 March 2017. The provisions of the Agreement will continue to apply to investments made on or before 22 March 2017 for a period of 15 years from the date of termination of the Agreement. Investments made on or after 23 March 2017 will not be covered by the Agreement.
Indonesia (Date of entry into force: 29 July 1993. Date terminated: 6 August 2020)
Australia and Indonesia agreed to terminate this Agreement (along with its 15 year survival clause contained in Article XV) upon entry into force of the Exchange of letters terminating the Agreement between the Government of Australia and the Government of the Republic of Indonesia concerning the Promotion and Protection of Investment [PDF], which was signed on 6 February 2020. The Exchange of Letters entered into force on 6 August 2020. Protections for Australian investors in Indonesia and Indonesian investors in Australia are available under IA-CEPA, which entered into force on 5 July 2020.
Mexico (Date of entry into force: 21 July 2007. Date terminated: 30 December 2018.)
Australia and Mexico agreed to terminate this Agreement, subject to transitional arrangements, upon entry into force of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) as between Australia and Mexico. Further details can be found on the CPTPP text and associated documents page, specifically the 'Agreement between Australia and Mexico regarding Termination of Investment Promotion and Protection Agreement'.
Peru (Date of entry into force: 2 February 1997. Date terminated: 11 February 2020.)
Australia and Peru have agreed to terminate this Agreement upon entry into force of the Peru-Australia Free Trade Agreement (PAFTA), subject to transitional arrangements. Further details can be found on the PAFTA text and associated documents page. PAFTA entered into force on 11 February 2020.
Vietnam (Date of entry into force: 11 September 1991. Date terminated: 14 January 2019.)
Australia and Vietnam agreed to terminate this Agreement, subject to transitional arrangements, upon entry into force of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) as between Australia and Vietnam. Further details can be found on the CPTPP text and associated documents page, specifically the 'Agreement between Australia and Viet Nam to maintain TPP bilateral agreements' and 'Australia – Viet Nam: Termination of Investment Promotion and Protection Agreement'.