Mexico under the leadership of new President has been displaying great business zeal. After making arrangements with world’s strong economic leaders, the country has ventured into the State of Kuwait. This agreement is the first ever by Mexico with a Muslim or Arab country. Under the agreement, both the countries will mutually help each other for boosting and protecting investments. The agreement is a part of an approach to expand the bilateral trade relations between both the countries.

Ambassador to the United Mexican States Samih Johar Hayat and Mexican Minister of Economy Ildefonso Guajardo Villareal signing the agreement

On behalf of the Kuwaiti Government, Samih Johar Hayat, the ambassador to the United Mexican States and Mexican Minister of Economy Ildefonso Guajardo Villareal signed the pact. The signing ceremony took place at headquarters of the Mexican Ministry of Economy. It was attended by senior officials from both the countries. The validity of the agreement is for 10 years and hence after will be renewed automatically for another 10-year mandate. This will provide the investor long-term stability and insurance. This agreement is due to be referred to the National Assembly (Parliament) of Kuwait and the Mexican Senate for endorsement.

The agreement has been designed to touch upon the aspects of protecting all types of assets, rights, and properties such as rents, mortgages, companies, stocks, bonds, financial loans and intellectual rights. It addresses various topics and legal aspects, such as issuance of permits for Kuwaiti entrepreneurs, facilitating launch of Kuwaiti businesses, protection of enterprises against eventual protective measures, namely nationalization and expropriation. In such eventualities, it ensures full compensation for any damage incurred by the Kuwaiti investors. It also addresses methods to resolve disputes by resorting to international arbitration.

Ambassador Hayat regards this agreement as substantial in bolstering cordial relationship between the countries. It will boost the economic, commercial and investment cooperation, as well as the distinctive political ties, between the two countries. He added the cultural, health and educational sectors will be considered in future for a holistic approach. It is indeed a great step for both the countries to open up to the emerging markets of the world.

Photo courtesy:kuna.net.kw

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