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Kyrgyzstan’s High Technology Park Confirms Indefinite Preferential Tax Regime

Kyrgyzstan’s President Sadyr Japarov has signed amendments to the Law "On the High Technology Park of the Kyrgyz Republic," extending the Park’s preferential tax regime indefinitely. Established in 2011, the High Technology Park was designed to foster IT businesses by drastically reducing or eliminating tax burdens for companies exporting digital goods and services. Previously, the High Technology Park offered tax exemptions for export-oriented IT companies for a 15-year period, set to expire in 2026. Under the new amendments, this regime is now permanent. Currently, resident companies of the Park benefit from exemptions on sales tax, profit tax, and value-added tax (VAT). Employees of these companies enjoy a reduced income tax rate of 5%, while the social insurance tax is 12% of their average monthly wage. The amendments also grant the Park's supervisory board the authority to independently elect its chairperson, a change expected to enhance the Board's efficiency. This move significantly boosts the Park's appeal to both domestic and international IT businesses. Kyrgyzstan’s IT sector is among the country’s fastest-growing industries. In 2021, Kyrgyzstan established the Ministry of Digital Development, tasked with advancing e-government initiatives and expanding the range of government services available online.

Kazakhstan to Create Horse Breeding Institute

Kazakhstan’s President, Kassym-Jomart Tokayev, has directed the government to establish and fund a Horse Breeding Institute to boost the horse population and advance the breeding of traditional Kazakh breeds. Speaking at the inaugural Forum of Agricultural Workers of Kazakhstan, Tokayev highlighted the steady growth in the country’s horse population. According to the Bureau of National Statistics, as of January 1, Kazakhstan had 4 million horses—a 5.4% increase from the previous year. This number has since risen to 4.2 million. However, only 1% of the total population comprises purebred horses, with approximately 40,000 being thoroughbreds. Tokayev stressed the importance of prioritizing the breeding and development of thoroughbred horses alongside overall population growth. “I instruct the government to create the Institute of Horse Breeding. The issue of its establishment has long been raised by experts. Relevant authorities must urgently address this matter and identify funding sources for the institute,”said Tokayev. The president underscored the significance of several horse breeds in Kazakhstan’s cultural and historical heritage. The Jabe breed, for instance, has a history deeply intertwined with the lives of the Kazakh people, spanning thousands of years. Known for its resilience in harsh environments, the Jabe was historically used as a draft animal, as well as a source of meat and milk. Modern Kazakhstan is also home to other notable breeds, including the Kostanai, Kushum, and Imugaljar breeds, which were developed locally. Tokayev also praised the Adai breed, calling it a “priceless treasure of Mangystau.” He recounted his earlier directive to promote this breed globally. “Today, the Adai breed has received official recognition and represents our country proudly in races and competitions,” he noted. However, he expressed concern over the dwindling population of the Kostanai horse, with only 280 remaining. “The key task, alongside increasing the horse population, is to enhance their breeding and productive qualities,” Tokayev concluded. In November 2022, during a public meeting in Mangystau, Tokayev recognized the Adai horse as a unique asset of the region. He instructed the government to begin work on achieving scientific recognition for the Adai as an independent breed and to ensure its reproduction as a breeding animal. By January 2024, the Ministry of Agriculture and the Ministry of Justice awarded the Association of Legal Entities and Individual Entrepreneurs “Adai Breed of Horse” a certificate granting exclusive rights to use the Adai horse brand. Kazakhstan has also taken legislative steps to protect and preserve its domestic breeds. A law passed in the summer of 2024 facilitates the acquisition of foreign sport stallions by local breeding centers, supports selective breeding efforts, and reimburses related expenses. This law aims to foster the development of Kazakh sport horse breeds and promote traditional equestrian sports, including kokpar, audaryspak, zhambi atu, and tenge alu. The law also establishes strict compliance standards for horse breeding. Only purebred animals that meet the breed standard and are registered under Kazakhstan’s livestock legislation are classified as breeding animals. Experts, however, have advocated for the creation of an independent institute to oversee compliance and enhance...

In the Wake of Bishimbayev: From Politicians to Felons – Part One

Eight days ago, a scandal shook Kazakhstani society: Kuandyk Bishimbayev allegedly escaped from the penal colony where he was serving his sentence. Bishimbayev is a former high-ranking official of the government of Nursultan Nazarbayev's era, who was sentenced to 24 years in prison for the brutal murder of his wife. The Interior Ministry's Criminal Correctional System Committee immediately denied this information and said that a criminal case had been opened over the dissemination of this misinformation. This is not the first time Bishimbayev has become a resident of a penal colony. In 2017, as the Minister of National Economy of Kazakhstan, he was arrested on suspicion of large-scale bribery and embezzlement. In 2018, he was sentenced to a ten-year term with the confiscation of property and deprivation of the right to hold public office for the rest of his life. However, he was released on parole in 2019. Kazakhstan has been shaken by Bishimbayev's new crime. The trial, which was broadcast live online for the first time in the country's history, was watched by millions of citizens, not only within the Republic, but also abroad in other post-Soviet countries, and even in the West. However, this is not the first and, in all likelihood, not the last sensational case in which a former high-ranking official becomes a defendant. The long list of convicted ministers and akims can be divided chronologically into three parts: the Nazarbayev era, the transition period, and the so-called “New Kazakhstan,” which started after the January Events - the failed coup in 2022. This article discusses the most notorious court cases from each of these periods.   Akezhan Kazhegeldin Former Prime Minister Akezhan Kazhegeldin was a politician known not only in Kazakhstan, but also in the West. He led the Government of Kazakhstan from 1994 to 1997. After falling into disfavor, in 1998 he attempted to challenge Nazarbayev in the upcoming presidential election. Kazhegeldin was not allowed to participate and had to leave Kazakhstan under the pretense of receiving medical treatment in Switzerland for unspecified health problems. In 1999, Kazhegeldin was put on an international wanted list, and in 2001 he was found guilty in absentia by the Supreme Court of Kazakhstan of abuse of power and authority, extortion and repeated bribes of millions of dollars, illegal acquisitions, the storage and transfer of weapons and ammunition, and tax evasion. Kazhegeldin was sentenced to ten years in prison, but has not returned to the country since. He continued to influence Kazakhstan's domestic politics from abroad until 2001 through the Republican People's Party of Kazakhstan, which he organized for this purpose. It was alleged that Kazhegeldin received kickbacks from a contract awarded to Tractebel in 1996 to run Almaty's electric company and power grid. A year later, the Belgian company also won a concession to manage gas pipelines in the south and west of Kazakhstan. In the U.S., meanwhile, the DOJ investigated claims Kazhegeldin received illegal payments of $6 million as part of a bribery scandal known as ‘Kazakhgate’....

First Train Tour Launched Between Kazakhstan and Uzbekistan

Kazakhstan is launching a new international train tour called “Silk Road,” connecting the cities of Almaty, Turkestan, and Tashkent. The first train on this route will depart on November 16. According to the Ministry of Tourism and Sports of Kazakhstan, the four-day tour will allow travelers to plunge into the atmosphere of ancient cities along the historic Silk Road. The itinerary covers the most important sights of Turkestan and Tashkent and includes guide services, meals, transfers, and entrance fees. Vice-Minister of Tourism and Sports Yerzhan Erkinbayev mentioned that the route will strengthen cultural ties between Kazakhstan and Uzbekistan and make travel more comfortable and affordable. The tour program includes visits to historical places such as the ancient city of Otyrar, the mausoleum of Arystan Baba, the historical and cultural complex Azret Sultan, and the most significant tourist complex in Central Asia, Caravan-Saray. In Tashkent, tourists can familiarize themselves with historical sights and modern architecture. Earlier, the media reported on the launch of a tourist route between China and Kazakhstan. The train from China, which began running in July 2024, passes through the Khorgos-Altynkol border crossing, adding a new opportunity for travel in Central Asia.

Bishkek Secures Multi-Million Dollar Grants at COP29 Conference in Baku

Boobek Azhikeev, the head of Kyrgyzstan’s Ministry of Emergency Situations, held several meetings with representatives of international institutions during the COP29 conference in Baku. Protocols and memorandums were signed, and a joint action plan for 2025-27 was developed. “I would like to highlight our meeting with the regional director of the Green Climate Fund, where we discussed a $25 million grant,” stated Kyrgyz EMERCOM spokeswoman Elnura Muktarova. “These funds are intended to support Kyrgyzstan’s Hydrometeorological and Forestry Services, as well as the Training and Research Center of the Ministry of Emergency Situations. We anticipate beginning these projects next year.” Azhikeev also negotiated with FETNet, a Finnish company that will provide advanced training for the Hydrometeorological Service. FETNet has offered to train Kyrgyz specialists in Finland and will present cutting-edge technologies to improve the accuracy and timeliness of weather forecasts. In addition, the Ministry of Emergency Situations announced that it had reached an agreement with the Asian Development Bank (ADB) to secure $60 million for strengthening the banks of the Kara-Darya, Chu, and Yassy rivers. This funding aims to reduce flood risks and enhance the ecological situation in the region. Of the total, 40% will be provided as a grant, while the remainder will be offered as a loan. During a meeting with representatives from the Financial Service under the Government of South Korea, discussions centered on financing Kyrgyzstan’s Forest Service. The South Korean representatives pledged support in the form of laboratory equipment, high-quality seeds, and digital mapping tools to combat pasture degradation and enhance forestry management. Kyrgyz Ministry of Emergency Situations officials also met with Turkish EMERCOM representatives and the Turkish Cooperation and Coordination Agency (TIKA) to discuss joint efforts in responding to emergency situations.

Chinese Company Builds Cotton-Textile Cluster in South Kazakhstan

Xinjiang Lihua (Group) Co., Ltd., one of China’s largest companies specializing in the cultivation and deep processing of cotton, has commenced work on a cotton-textile cluster in Kazakhstan’s southern Turkestan region. The project’s progress was reviewed on November 14 during a meeting between Kanat Sharlapaev, Kazakhstan’s Minister of Industry and Construction, and representatives of the company. Located in the Turan Special Economic Zone, the joint venture involves the construction of facilities for PVC pipe manufacturing, drip irrigation systems, two cotton processing plants, a spinning mill, a weaving mill, a dyeing and finishing factory, and a garment factory. The project, with a total cost of 180 billion KZT (over $363 million), is expected to generate more than 4,000 jobs. This year, the initiative saw the installation of a drip irrigation system, cotton cultivation on 1,120 hectares, and the start of construction for the spinning mill. Minister Sharlapaev underscored the project’s significance for the development of Kazakhstan’s light industry, pledging comprehensive government support to ensure its success.