Common use of Restrictions to Safeguard the Balance of Payments Clause in Contracts

Restrictions to Safeguard the Balance of Payments. 1. In the event of serious balance-of-payments and external financial difficulties or threat thereof, a Party may adopt or maintain restrictions on trade in services on which it has undertaken specific commitments, including on payments or transfers for transactions related to such commitments. 2. The restrictions referred to in paragraph 1: (a) shall ensure that the other Party is treated as favourably as any non-Party; (b) shall be consistent with the Articles of Agreement of the International Monetary Fund, as may be amended; (c) shall avoid unnecessary damage to the commercial, economic and financial interests of the other Party; (d) shall not exceed those necessary to deal with the circumstances described in paragraph 1; and (e) shall be temporary and be phased out progressively as the situation specified in paragraph 1 improves. 3. In determining the incidence of such restrictions, a Party may give priority to the supply of services which are more essential to its economic or development programmes. However, such restrictions shall not be adopted or maintained for the purposes of protecting a particular service sector. 4. Any restrictions adopted or maintained under paragraph 1, or any changes therein, shall be promptly notified to the other Party. 5. Where a Party has adopted restrictions pursuant to paragraph 1, that Party shall, upon request, commence consultations with the other Party promptly in order to review the restrictions adopted by the former Party.

Restrictions to Safeguard the Balance of Payments. 1. The Parties endeavour to avoid the imposition of restrictions to safeguard the balance of payments. 2. In the event of serious balance-of-payments and external financial difficulties or threat thereof, a Party may adopt or maintain restrictions on trade in services on which it has undertaken specific commitmentsservices, including on payments or transfers for transactions related to such commitmentstransactions. 23. The restrictions adopted or maintained by a Party referred to in paragraph 12: (a) shall ensure that the other Party is treated as favourably as any non-Party; (b) shall be consistent with the Articles of Agreement of the International Monetary Fund, as may be amended; (c) shall avoid unnecessary damage to the commercial, economic and financial interests of the other Party; (d) shall not exceed those necessary to deal with the circumstances described in paragraph 12; and (e) shall be temporary and be phased out progressively as the situation specified in paragraph 1 2 improves. 34. In determining the incidence of such restrictions, a Party may give priority to the supply of services which are more essential to its economic or development programmesprogramme. However, such restrictions shall not be adopted or maintained for the purposes of protecting a particular service sector. 45. Any restrictions adopted or maintained by a Party under paragraph 12, or any changes therein, shall be promptly notified to the other Party. 5. Where a Party has adopted restrictions pursuant to paragraph 1, that Party shall, upon request, commence consultations with the other Party promptly in order to review the restrictions adopted by the former Party.

Restrictions to Safeguard the Balance of Payments. 1. In the event of serious balance-of-payments and external financial difficulties or threat thereof, a Party may adopt or maintain restrictions on trade in services on which it has undertaken specific commitmentsservices, including on payments or transfers for transactions related to such commitmentstransactions. 2. The restrictions referred to in paragraph 11 above: (a) shall be applied on a national treatment basis; (b) shall ensure that the other Party is treated as favourably as any non-Party; (bc) shall be consistent with the Articles of Agreement of the International Monetary Fund, as may be amended; (cd) shall avoid unnecessary damage to the commercial, economic and financial interests of the other Party; (de) shall not exceed those necessary to deal with the circumstances described in paragraph 11 above; and (ef) shall be temporary and be phased out progressively as the situation specified in paragraph 1 above improves. 3. In determining the incidence of such restrictions, a Party may give priority to the supply of services which are more essential to its economic or development programmes. However, such restrictions shall not be adopted or maintained for the purposes of protecting a particular service sector. 4. Any restrictions adopted or maintained under paragraph 11 above, or any changes therein, shall be promptly notified to the other Party. 5. Where a The Party has adopted applying any restrictions pursuant to in accordance with paragraph 1, that Party shall1 above may, upon requestrequest by the other Party, commence consultations with the other Party promptly in order to review the restrictions adopted by the former Party.