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As a consequence of being sued by more than 20 foreign investors, India terminated close to 60 investment treaties and adopted a new Model Bilateral Investment Treaty (BIT) purportedly to balance investment protection with the host State’s right to regulate. This book is a critical study of India’s approach towards BITs and traces their origin, evolution, and the current state of play. It does so by locating them in India’s economic policy in general and policy towards foreign investment in particular.

India’s approach towards BITs and policy towards foreign investment were consistent with each other in the periods of economic nationalism (1947–1990) and economic liberalism (1991–2010). However, post 2010, India’s approach to BITs has become protectionist while India’s foreign investment policy continues to be liberal. To balance investment protection with the State’s right to regulate, India needs to evolve its BIT practice based on the twin framework of international rule of law and embedded liberalism.

Contents: Foreword by Stephan W. Schill. 1. Introduction. Phase I Refusal. 2. Economic Nationalism: Refusal to Bilateral Investment Treaties. Phase II Acceptance: 3. Economic Liberalism: Embracing Bilateral Investment Treaties. 4. India’s BITs: Mapping the Acceptance—I. 5. India’s BITs: Mapping the Acceptance—II. Phase III Backlash: 6. BITs Come Home to Roost but no Philip Morris Moment Yet!. 7. Mapping the Backlash: Once BITten Many Times Shy!. 8. The 2016 Indian Model BIT: Making the BIT Unworkable for Investors. Conclusion: Throw the Bathwater, but Keep the Baby!. Annexure. Index.