- In the event of serious balance-of-payments and external financial difficulties or threat thereof, a Member State may adopt or maintain restrictions on payments or
transfers related to investments. It is recognised that particular pressures on the balance-of-payments of a Member State in the process of economic development may
necessitate the use of restrictions to ensure, inter alia, the maintenance of a level of financial reserves adequate for the implementation of its programme of economic development. - The restrictions referred to in paragraph 1 shall:
- (a) be consistent with the Articles of Agreement of the IMF;
- (b) avoid unnecessary damage to the commercial, economic and financial interests of another Member State;
- (c) not exceed those necessary to deal with the circumstances described in paragraph 1;
- (d) be temporary and be phased out progressively as the situation specified in paragraph 1 improves;
- (e) be applied such that any one of the other Member States is treated no less favourably than any other Member State or non-Member State.
- Any restrictions adopted or maintained under paragraph 1, or any changes therein, shall be promptly notified to the other Member States.
- To the extent that it does not duplicate the process under WTO, IMF, or any other similar processes, the Member State adopting any restrictions under paragraph 1
shall commence consultations with any other Member State that requests such consultations in order to review the restrictions adopted by it.
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THE OFFICIAL INVESTMENT PROMOTION WEBSITE OF THE ASSOCIATION OF SOUTHEAST ASIAN NATIONS
