PROTECTION OF FOREIGN  INVESTMENT

Article 8.  Legal Guarantees for Foreign Investment.

1. Foreign investment shall  enjoy legal protection within the territory of Mongolia as guaranteed by the Constitution,  the present Law and other laws and regulations in  force which are consistent with the preceding, and as guaranteed by the International Treaties to which Mongolia is a signatory.
 
2.  Foreign investment within  the territory of  Mongolia shall not be nationalized or be subject to unlawful expropriation.
 
3. Investments of a  foreign investor may be subject to expropriation exclusively for public purposes or interests and only in accordance with due process of law, on a non-discriminatory basis and against full compensation.
 
4. Unless provided otherwise in the International Treaties to which Mongolia is a signatory, the amount of such compensation shall be determined by  the value  of expropriated assets at the time of expropriation or public notice of such expropriation.  Such compensation shall be effected  without delay.
 
5. Losses suffered by foreign investors due to a state of emergency or war in Mongolia shall be treated equally with losses suffered by Mongolian  investors.