“…Some studies conclude that BITs matter for FDI (Benteniotis et al, 2020; Busse et al, 2010; Frenkel & Walter, 2019; Sanfilippo, 2010; Tobin & Rose‐Ackerman, 2011), while others contend that they only complement and not substitute for good institutional quality (Falvey & Foster‐McGregor, 2018; Hallward‐Driemeier, 2003). Yet, another body of academic literature contends that the effects of BITs are contingent on the pre‐existing risk of expropriation, which reduces significantly after ratification, thereby increasing FDI (Jandhyala & Weiner, 2014; Rose‐Ackerman & Tobin, 2005; Sirr et al, 2017). However, most recent studies have focused on channels through which BITs translate into increased FDI by analysing their effect on property rights protection and institutions or the business environment (Benteniotis et al, 2020; Jacobs, 2017).…”