Uzbekistan's New Bilateral Investment Treaty Standpoint: In Case of Uzbekistan-Turkey bit (2018) by F. Muminov and J. Górski About tdm tdm

2. Core Provisions in the Context of Turkey-Uzbekistan BIT 
2.1. Admission of Foreign Investment 
It is generally accepted that it falls within sovereignly of the host country to control and restrict 
foreign investment in the pre-entry stage. However, the process of liberalization through an 
ever expanding web of BITs and investment-related chapters of regional trade agreement 
(RTAs) confines the scope of host state’s right to regulate foreign investment, including 
admission of specific projects. In essence, two types of admission-models can be found in BITs: 
the 
controlled-entry model and the full-liberalization model.
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The controlled entry model 
allows the host country to restrict entry of foreign investment on its territory whereas the full-
liberalization model involves no controls of foreign investment in the pre-entry stage. The full-
liberalization model is the best way to establish a competitive environment attracting foreign 
investors, and allows the most effective allocation of recourses at the interconnected globalized 
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Capital exporting countries dedicate significant time and effort to the preparation of what they call treaty model, 
prototype treaty or draft treaty to serve as a foundation for their negotiation with the host countries (developing 
countries). Without doubt, the drafting process of a treaty takes a few years and required comprehensive 
negotiations with relevant government agencies and representatives of the private sector. In this regard, the treaty 
model of capital exporting countries serves as the basis for their negotiations with the host countries to conclude 
BITs. See in more detail, Salacuse Jeswald ‘BIT by BIT: The Growth of Bilateral Investment Treaties and Their 
Impact on Foreign Investment in Developing Countries’, 24 The International Lawyer 662 
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ICSID  accessed 24 March 2019. 
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Ignacio Gómez-palacio and Peter Muchlinski, ‘Admission and Establishment’ in Peter Muchlinski, Federico 
Ortino, and Christoph Schreuer (eds), The Oxford H
andbook of International Investment Law (Oxford University 
Press 2008) 37. 

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economy. Unlike the controlled entry model, the full-liberalization model allows foreign 
investors to extend the right stemming from the non-discrimination clause to the pre-admission 
phase.
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Typical to-date Uzbekistan BITs
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have followed the controlled-entry model. Thus, Uzbekistan 
has not had special commitment toward foreign investors which may be discriminated 
compared with domestic and third country’s investors in the pre-entry stage. Unlike typical 
Uzbekistan BITs, art 1 of Uzbekistan-Turkey BIT sets forth that: 
“Subject to its laws and regulations, each Contracting Party shall in the territory of its 
state promote as far as possible investments by investors of the other Contracting