The Research On The Legal Standard Of Transparency In Internati Onal Investment Arbitration

After the 2012 slump,FDI flows returned to an upward trend in 2013.Global FDI inflows rose by 9 per cent to $1.45 trillion in 2013.FDI inflows increased in all major economic groupings-developed,developing,and transition economies.Global FDI stock rose by 9 per cent,reaching $25.5 trillion.Increasingly active economic activity is accompanied by a growing number of disputes.International arbitration plays an important role in solving such disputes arising with the economic developments.As we all know,the International Commercial Arbitration consistently adhering to the principle of confidentiality of secret without public hearing,which played a significant role in resolving disputes rapidly and efficiently,as well as protecting and promoting the business of economic development.As the most important way of settling the international investment disputes,the early international investment arbitration is also born out of international commercial arbitration,so they inevitably insist the principle of confidentiality in arbitration proceedings.Undoubtedly,this system has an irreplaceable role in the early development of international investment promotion,but with the rapid development of international investment in the economy,the economic activity between the host states and foreign investors have shown something different from the general business activities,or in one word,the"characteristics",which have made the international investment arbitration practices adhere to the principle of confidentiality constantly been questioned and criticized.As a result,the international investment arbitration is often caused by the "legitimacy crisis",which arises a growing worldwide attention in the arbitration issue of transparency.Until today,there is still a huge controversy in the relationship between confidentiality and transparency.There is no definite attitude both in the universally applicable rules of international arbitration and the international arbitration tribunal practice,such as "North American Free Trade Agreement"(NAFTA),"International Center for Settlement of Investment Disputes Arbitration Rules"("ICSID Arbitration Rules")and "UNCITRAL Arbitration Rules of the United Nations Commission on the State"("UNCITRAL Arbitration Rules").It is noted that these provisions are not systematic in the above rules.The UNCITRAL Rules on Transparency in Treaty-based investor-State Arbitration(the"Rules on Transparency"),which come into effect on 1 April 2014,is the most systematic provision of the principle of transparency.This article will also give their analysis of these major arbitration rules,as well as the "Transparency Rules",to try to clarify the current interests of the international community’s attitude towards the issue of transparency.International Investment transparency issues fundamentally can be summarized as two aspects:Whether and to what extent should insist on this issue.I think that in view of the parties in international investment arbitration have a certain degree of particularity,it is very difficult for the host state and foreign investors to transact on a absolute equal footing.The host state has to bear in the public interest and good governance throughout the entire country nationals.In consideration of these peculiarities,we should firstly acknowledge its inevitability and feasibility of the transparency issue in the arbitration process.And secondly,we should hold the principle of not interfering with the due process rights of the parties and to minimizing prejudice the arbitration proceedings,which in order to ensure maximum advantage of arbitration of this dispute resolution.