Republic of Mauritius

AGREEMENT

BETWEEN

THE GOVERNMENT OF
THE REPUBLIC OF MAURITIUS

AND

THE GOVERNMENT OF
THE REPUBLIC OF SINGAPORE

FOR

THE PROMOTION AND

PROTECTION OF INVESTMENTS
 The Government of the Republic of Mauritius and the Government of the
Republic of Singapore (each hereinafter referred to as a “Contracting Party”);

DESIRING to create favourable conditions for greater economic co-operation

between them and in particular for investments by investors of one State in the territory
of the other State;

RECOGNISING that the encouragement and reciprocal protection of such

investments will be conducive to stimulating business initiative and increasing prosperity
in both States;

HAVE agreed as follows:

ARTICLE 1

DEFINITIONS

For the purposes of this Agreement,

1. The term “investment” means every kind of asset permitted by each Contracting
Party in accordance with its laws and regulations, including, though not
exclusively, any:

(a) movable and immovable property and other property rights as well as
other rights in rem such as mortgages, liens or pledges;

(b) shares, stocks, debentures and similar interests in companies;

(c) claims to money, or to any performance under contract having an

economic value;

(d) intellectual property rights, know-how, and goodwill; and

(e) concessions conferred by law or under contract, including any concession

to search for, cultivate, extract or exploit natural resources;

2. The term “returns” means monetary returns yielded by an investment including

any profits, interest, capital gains, dividends, royalties or fees.

3. The term “investor” means:

(i) a natural person having the nationality of a Contracting Party in

accordance with its applicable law; or

(ii) any entity constituted or organised under the applicable law of a

Contracting Party, including a company, corporation, partnership, sole
proprietorship, association, body or organisation,

making or having made an investment in the other Contracting Party’s territory.

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4. The term “freely convertible currency” means any currency that is widely used to
make payments for international transactions and widely traded in the principal
international exchange markets.

5. The term “territory” means

(a) in respect of the Republic of Mauritius -

(i) all the territories and islands which, in accordance with the laws of
Mauritius, constitute the State of Mauritius;

(ii) the territorial sea of Mauritius; and

(iii) any area outside the territorial sea of Mauritius which in

accordance with international law has been or may hereafter be
designated, under the laws of Mauritius, as an area, including the
Continental shelf, within which the rights of Mauritius with
respect to the sea, the sea-bed and subsoil and their natural
resources may be exercised;

(b) in respect of the Republic of Singapore, the territory of the Republic of

Singapore as well as the territorial sea and any maritime area situated
beyond the territorial sea which has been or might in the future be
designated under its national law, in accordance with international law, as
an area within which Singapore may exercise rights with regards to the
sea, the sea-bed, the subsoil and the natural resources.

ARTICLE 2

APPLICABILITY OF THIS AGREEMENT

1. This Agreement shall only apply -

(a) in respect of investments in the territory of the Republic of Singapore, to

all investments made by investors of the Republic of Mauritius which are
specifically approved in writing by the competent authority designated by
the Government of the Republic of Singapore and upon such conditions,
if any, as it shall deem fit;

(b) in respect of the investments in the territory of the Republic of Mauritius,

to all investments made by investors of the Republic of Singapore which
are specifically approved in writing by the competent authority designated
by the Government of the Republic of Mauritius and upon such
conditions, imposed in conformity with the law, as it shall deem fit;

2. The provisions of the foregoing paragraph shall apply to all investments made by
investors of either Contracting Party in the territory of the other Contracting
Party, whether made before or after the coming into force of this Agreement.

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 ARTICLE 3

PROMOTION AND PROTECTION OF INVESTMENTS

1. Each Contracting Party shall encourage and create favourable conditions for
investors of the other Contracting Party to make in its territory investments that
are in line with its general economic policy.

2. Investments approved under Article 2 shall be accorded fair and equitable

treatment and protection in accordance with this Agreement.

3. Each Contracting Party shall use its best endeavours to facilitate investments in
its territory by investors of the other Contracting Party.

ARTICLE 4

MOST FAVOURED NATION PROVISION

1. Neither Contracting Party shall in its territory subject investments admitted in

accordance with the provisions of Article 2 or returns of investors of the other
Contracting Party to treatment less favourable than that which it accords to
investments or returns of investors of any third State.

ARTICLE 5

EXCEPTIONS

1. The provisions of this Agreement relating to the grant of treatment not less
favourable than that accorded to the investors of any third State shall not be
construed so as to oblige one Contracting Party to extend to investors of the other
Contracting Party the benefit of any treatment, preference or privilege resulting
from:

(a) any existing or future customs union, free trade area, free trade
arrangement, common market, monetary union or similar international
agreement or an agreement designed to lead to the formation or extension
of such a union, area or arrangement, to which either of the Contracting
Parties is or may become a party;

(b) any arrangement with a third State or States in the same geographical
region designed to promote regional cooperation in the economic, social,
labour, industrial or monetary fields within the framework of specific
projects.

2. The provisions of this Agreement shall not apply to matters of taxation in the
territory of either Contracting Party. Such matters shall be governed by any
Avoidance of Double Taxation Treaty between the two Contracting Parties and
the domestic laws of each Contracting Party.

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 ARTICLE 6

EXPROPRIATION

1. Neither Contracting Party shall take any measure of expropriation,

nationalization or other measures having effect equivalent to nationalization or
expropriation (hereinafter referred to as “expropriation”) against the investment
of investors of the other Contracting Party unless the measures are taken for any
purpose authorised by law, on a non-discriminatory basis, in accordance with its
laws and against compensation which shall be effectively realisable and shall be
made without unreasonable delay. Such compensation, shall, subject to the laws
of each Contracting Party, be the value immediately before the expropriation.
The compensation shall be freely convertible and transferable.

2. Any measure of expropriation or valuation may, at the request of the investor

affected, be reviewed by a judicial or other independent authority of the
Contracting Party taking the measures in the manner prescribed by its laws.

3. Where a Contracting Party expropriates the assets of a company which is

incorporated or constituted under the laws in force in any part of its own territory,
and in which investors of the other Contracting Party own shares, it shall ensure
that the provisions of paragraph 1 of this Article are applied to the extent
necessary to guarantee compensation as specified therein to investors of the other
Contracting Party who are owners of those shares.

ARTICLE 7

COMPENSATION FOR LOSSES

1. Investors of one Contracting Party whose investments in the territory of the other
Contracting Party suffer losses owing to war or other armed conflict, a state of
national emergency, revolt, insurrection or riot in the territory of the latter
Contracting Party, shall be accorded by the latter Contracting Party treatment, as
regards restitution, indemnification, compensation or other settlement, if any, no
less favourable than that which the latter Contracting Party accords to investors
of any third State. Any resulting compensation shall be freely convertible and
transferable.

2. Without prejudice to paragraph 1 of this Article, an investor of a Contracting

Party who, in any of the situations referred to in that paragraph, suffers a loss in
the territory of the other Contracting Party resulting from requisitioning or
destruction of its property by the armed forces or other authorities of the latter
Contracting Party, which was not caused in combat action or was not required by
the necessity of the situation, shall be accorded such compensation as may be
provided by its laws.

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 ARTICLE 8

REPATRIATION

1. Each Contracting Party shall guarantee to investors of the other Contracting Party
the free transfer, on a non-discriminatory basis, of their capital and the returns
from any investments. The transfers shall be made in a freely convertible
currency, without any restriction or undue delay. Such transfers shall include in
particular, though not exclusively:

(a) profits, capital gains, dividends, royalties, interest and other current
income accruing from an investment;
(b) the proceeds of the total or partial liquidation of an investment;
(c) repayments made pursuant to a loan agreement in connection with an
investment;
(d) license fees in relation to the matters in Article 1 (1) (d);
(e) payments in respect of technical assistance, technical service and
management fees;
(f) payments in connection with contracting projects;
(g) earnings of nationals of a Contracting Party who work in connection with
an investment in the territory of the other Contracting Party.

2. Nothing in paragraph 1 of this Article shall affect the free transfer of

compensation paid under Articles 6 and 7 of this Agreement.

ARTICLE 9

EXCHANGE RATE

The transfers referred to in Article 6 to 8 of this Agreement shall be effected at

the prevailing market rate in freely convertible currency on the date of transfer.
In the absence of such a market rate of exchange, the rate to be applied shall be
the most recent market exchange rate or the current exchange rate, whichever is
the most favourable to the investor.

ARTICLE 10

LAWS

For the avoidance of any doubt, it is declared that all investments shall, subject to
this Agreement, be governed by the laws in force in the territory of the
Contracting Party in which such investments are made.

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 ARTICLE 11

PROHIBITIONS AND RESTRICTIONS

The provisions of this Agreement shall not in any way limit the right of either
Contracting Party to apply prohibitions or restrictions of any kind or take any
other action which is directed to the protection of its essential security interests,
or to the protection of public health or the prevention of diseases and pests in
animals or plants.

ARTICLE 12

SUBROGATION

1. In the event that either Contracting Party (or any agency, institution, statutory
body or corporation designated by it) as a result of an indemnity it has given in
respect of an investment or any part thereof makes payment to its own investors
in respect of any of their claims under this Agreement, the other Contracting
Party acknowledges that the former Contracting Party (or any agency, institution,
statutory body or corporation designated by it) is entitled by virtue of subrogation
to exercise the rights and assert the claims of its own investors. The subrogated
rights or claims shall not be greater than the original rights or claims of the said
investor.
2. Any payment made by one Contracting Party (or any agency, institution,
statutory body or corporation designated by it) to its investors shall not affect the
right of such investors to make their claims against the other Contracting Party in
accordance with Article 13 provided that the exercise of such a right does not
overlap, or is not in conflict with, the exercise of a right by virtue of subrogation
under paragraph 1 of this Article.

ARTICLE 13

INVESTMENT DISPUTES

1. Any dispute between an investor of one Contracting Party and the other
Contracting Party in connection with an investment in the territory of the other
Contracting Party shall, as far as possible, be settled amicably through
negotiations between the parties to the dispute. The party intending to resolve
such dispute through negotiations shall give written notice to the other of its
intention.

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2. If the dispute cannot be thus resolved as provided in paragraph 1 of this Article,
within 6 months from the date of the notice given thereunder, then, unless the
parties have otherwise agreed, it shall, upon the request of either party to the
dispute, be submitted to conciliation or arbitration by the International Centre for
Settlement of Investment Disputes (called “the Centre” in this Agreement)
established by the convention on the Settlement of Investment Disputes between
the States and Nationals of Other States opened for signature at Washington on
18 March, 1965 (called “the Convention” in this Agreement). For this purpose,
each Contracting Party hereby irrevocably consents in advance under Article 25
of the Convention to submit any dispute to the Centre.

ARTICLE 14

DISPUTES BETWEEN THE CONTRACTING PARTIES

1. Any dispute between the Contracting Parties concerning the interpretation or

application of this Agreement shall, as far as possible, be settled through
negotiation.

2. If any dispute cannot be thus settled, it shall upon the request of either
Contracting Party be submitted to arbitration. The arbitral tribunal (hereinafter
called “the tribunal”) shall consist of three arbitrators, one appointed by each
Contracting Party and the third, who shall be Chairman of the tribunal, appointed
by agreement of the Contracting Parties.

3. Within two months of receipt of the request for arbitration, each Contracting
Party shall appoint one arbitrator, and within two months of such appointment of
the two arbitrators, the Contracting Parties shall appoint the third arbitrator.

4. If the tribunal shall not have been constituted within four months of receipt of the
request for arbitration, either Contracting Party may, in the absence of any other
agreement, invite the President of the International Court of Justice to appoint the
arbitrator or arbitrators not yet appointed. If the President is a national of either
Contracting Party or if he is unable to do so, the Vice-President may be invited to
do so. If the Vice-President is a national of either Contracting Party or if he is
unable to do so, the Member of the International Court of Justice next in seniority
who is not a national of either Contracting Party may be invited to make the
necessary appointments, and so on.

5. The tribunal shall reach its decision by a majority of votes.

6. The tribunal’s decision shall be final and the Contracting Parties shall abide by
and comply with the terms of its award.
7. Each Contracting Party shall bear the costs of its own member of the tribunal and
of its representation in the arbitration proceedings and half the costs of the
Chairman and the remaining costs. The tribunal may, however, in its decision,
direct that a higher proportion of costs shall be borne by one of the two Parties,
and this award shall be binding on both Parties.
8. Apart from the above the tribunal shall establish its own rules of procedure.
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 ARTICLE 15

OTHER OBLIGATIONS

If the legislation of either Contracting Party or international obligations existing

at present or establish hereafter between the Contracting Parties in addition to this
Agreement, result in a position entitling investments by nationals of the other
Contracting Party to treatment more favourable than is provided for by this
Agreement, such position shall not be affected by this Agreement. Each
Contracting Party shall observe any commitment in accordance with its laws
additional to those specified in this Agreement entered into by the Contracting
Party, its investors with investors of the other Contracting Party as regards their
investments.

ARTICLE 16

ENTRY INTO FORCE, DURATION AND TERMINATION

1. Each Contracting Party shall notify the other Contracting Party of the fulfilment
of its internal legal procedures required for the bringing into force of this
Agreement. This Agreement shall enter into force on the thirtieth day from the
date of receipt of the last notification.

2. This Agreement shall remain in force for a period of fifteen years and shall
continue in force thereafter unless, after the expiry of the initial period of fourteen
years, either Contracting Party notifies in writing the other Contracting Party of
its intention to terminate this Agreement. The notice of termination shall become
effective one year after it has been received by the other Contracting Party.

3. In respect of investments made prior to the date when the notice of termination of
this Agreement becomes effective, the provisions of Articles 1 to 15 shall remain
in force for a further period of fifteen years from the date.

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IN WITNESS WHEREOF the undersigned representatives, duly authorized thereto by
their respective Governments, have signed this Agreement.

Done in duplicate at Singapore on 4th March two thousand, in the English language.

........................……............... ........................……...............

(Sd.)Dr. Vasant K. BUNWAREE (Sd.)Dr. Richard HU

Minister of Finance Minister of Finance

For the Government of the For the Government of the

Republic of Mauritius Republic of Singapore

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