Regional Arbitration Centres
In the 1960s and 1970s, there were very few permanent arbitral institutions in the Asian–African region. Parties were often compelled to submit disputes to institutions located in Europe or North America, which resulted in excessive litigation expenses, high fees for counsel and experts, and reliance on procedural practices unfamiliar to developing countries. This imbalance underscored the urgent need for regional mechanisms that would be more accessible, cost-effective, and responsive to the particular requirements of Asian and African States.
It was in this context that the Thirteenth Annual Session of AALCO, held in Lagos, Nigeria in 1972, considered for the first time the establishment of Regional Arbitration Centres. The Session requested the Secretariat to conduct independent research on the practical challenges of international commercial arbitration from the perspective of Asia and Africa. This initiative laid the groundwork for AALCO’s pioneering role in creating arbitration institutions firmly rooted in the needs and priorities of the region.
Since then, six Regional Arbitration Centres have been established under the auspices of AALCO:
• Cairo (Arab Republic of Egypt)
• Kuala Lumpur (Malaysia)
• Lagos (Federal Republic of Nigeria)
• Tehran (Islamic Republic of Iran)
• Nairobi (Republic of Kenya)
• Hong Kong SAR (People’s Republic of China)
The Host Governments accord these Centres independent status, together with privileges and immunities, to safeguard their impartial functioning. Each Centre is headed by a Director, appointed by the Host Government in consultation with the Secretary-General of AALCO. The Directors present their annual reports on the activities of their Centres at the Annual Sessions, ensuring transparency, accountability, and continued guidance from Member States.
Beyond their role in administering arbitration, the Centres also conduct training programmes, seminars, and capacity-building activities, thereby nurturing a stronger arbitration culture across Asia and Africa. Together, they represent AALCO’s enduring commitment to advancing fair, efficient, and regionally rooted mechanisms for the settlement of international commercial disputes.