October 23, 2003

Press Release

U.S-Estonian Investment Treaty

The Embassy of the United States is pleased to announce that the United States and Estonia will sign a Bilateral Investment Treaty protocol in Brussels on October 24 at 15:00 Brussels time.

The United States is concluding such protocols to its bilateral investment treaties (BITs) with eight countries that are acceding to the European Union or are candidates for accession. The purpose of these protocols is to assure compatibility between the obligations of U.S. BITs and the obligations of membership in the EU.

On September 22, 2003, the United States and the European Commission signed an understanding to preserve U.S. bilateral investment treaties (BITs) with the Czech Republic, Estonia, Latvia, Lithuania, Poland, the Slovak Republic, Bulgaria and Romania. The U.S.-Estonian bilateral protocol represents an agreement on specific amendments to the Bilateral Investment Treaty with Estonia that was signed April 19, 1994, and entered into force February 16, 1997.

The BIT helps to promote greater economic cooperation and to stimulate the flow of private capital by encouraging a stable framework for investment and clarifying dispute resolution procedures.

The United States is the third largest source of investment in Estonia, and U.S. investment plays a positive and significant role in the Estonian economy. The United States and Estonia are growing trade partners.

The United States welcomes Estonia's accession to the EU and believes that Estonia's EU membership, together with the continuation of its agreement with the United States, will enhance our bilateral trade.