TITLE:
The Impact of the Arbitration Environment on Building Investor Confidence and Enhancing Legal Security for Investors—A Comparative Study in Light of International Conventions and National Legislation
AUTHORS:
Yussri Awad Abdalla
KEYWORDS:
Arbitration Environment, International Commercial Arbitration, Legal Security, Investor Confidence, Investment Attractiveness, New York Convention, UNCITRAL Model Law
JOURNAL NAME:
Beijing Law Review,
Vol.17 No.3,
September
30,
2026
ABSTRACT: This study examines the impact of the arbitration environment on building investor confidence and enhancing legal security for investors, proceeding from the premise that the arbitration environment is no longer merely a procedural framework for dispute resolution, but has become one of the principal components of a legal environment conducive to investment. The study aims to elucidate the concept and constituent elements of the arbitration environment, analyze its relationship with legal security and investor confidence, and assess its impact on enhancing investment attractiveness in light of international conventions and national legislation, while drawing upon a number of comparative legislative experiences. The study adopts a descriptive-analytical methodology, supplemented by a comparative approach, through an analysis of legislative provisions and international conventions, foremost among them the 1958 New York Convention, the 1965 Washington Convention, and the UNCITRAL Model Law on International Commercial Arbitration. It further examines a number of comparative legal systems and analyzes relevant doctrinal and judicial trends. The study concludes that the arbitration environment constitutes an integrated framework comprising the legislative framework, judicial support, the efficiency of arbitral institutions, the effectiveness of arbitral award enforcement, and compliance with international standards. The integration of these elements is doctrinally associated with enhanced legal security, reduced legal risks, and stronger investor confidence, and may therefore contribute to a state’s capacity to attract domestic and foreign investment. The study further concludes that reliance solely on traditional economic indicators is no longer sufficient for assessing the attractiveness of the investment environment. It therefore proposes recognizing the arbitration environment as an independent legal indicator for assessing investment attractiveness, based on measuring the quality of legislation, judicial independence, the efficiency of arbitral institutions, the expeditious enforcement of arbitral awards, and the extent of compliance with international conventions. This finding constitutes the principal scholarly contribution of the study and opens the way for developing more precise legal tools for assessing the investment environment and enhancing States’ competitiveness in attracting investment.