Zhailov noted that Kyrgyzstan has relatively high investment conditions compared to its neighbors. The tax regime plays a crucial role, directly affecting the cost price and profitability of businesses.
“The tax burden is a top priority factor for investors. The lower it is, the greater the interest in the country,” he emphasized.
In Kyrgyzstan, the value-added tax (VAT) rate is 12%, which is significantly lower than in other countries in the region: 20% in Russia, 16% in Kazakhstan, and from 13% to 15% in Uzbekistan.
As for the profit tax, it is set at 10% in Kyrgyzstan, while in Russia and Kazakhstan, this figure reaches 20%. The expert believes that this advantage can attract large investors.
Moreover, according to Zhailov, the government is actively developing infrastructure: new roads are being built, communications are being laid, and land plots are being provided for investors.
“There are four free economic zones operating in Kyrgyzstan, where investors can take advantage of tax and customs benefits. Optimizing legislation will allow for more effective utilization of their potential,” he added.
The main flow of investments is currently concentrated in the Chui, Issyk-Kul, and Jalal-Abad regions, which also indicates the attractiveness of these regions for investors.
