This chapter centres on the economic and political climate of the period in which the selected countries concluded their first investment treaties. This period coincides with the end of the 1980s and early 1990s, when, as a result of the end of the Cold War, states across the globe adopted trade and investment liberalisation policies, increased property protections, and promoted liberal legal internationalism. It does so through four country snapshots. It then discusses the political debate regarding IIAs at the highest political level – in national parliaments – and in the media. When it comes to the debates in national parliaments, four themes emerged: (1) general lack of substantive parliamentary engagement; (2) belief that foreign investment was sufficiently protected under national laws; (3) substantive engagement on issues related to free transfers; and (4) more pronounced discussion when the investment connected with trade liberalisation, such was the case of Mexico. Regarding the media debate, the period of the conclusion of the first international investment agreements (IIAs) shows an almost total absence of reporting and media engagement.

This chapter examines some of the major protections contained in investment treaties: Fair and Equitable Treatment, Full Protection and Security and associated difficulties in interpretation. It also considers the now unpopular Umbrella clauses and increasingly common transparency provisions.